The year started off well for Maker (MKR), as it managed to stay above important levels despite facing a series of downward trends.

However, a significant wallet activity has caught attention recently, as assets worth millions of dollars have been moved to exchanges.

Over $4 Million MKR Sold

Spot on Chain data revealed an interesting development for Maker, although it may not be well-received by other holders.

Particularly noteworthy is the sale of 2,235 MKR by a renowned wallet linked to the co-founder of MakerDao. This sale amounted to over $4.5 million as of the current press time.

The recent sale garnered attention primarily because of the wallet owner's identity and the possibility of it being a potential dump.

Analyzing the volume of Maker over the past few days revealed a decrease. It peaked at $84 million on January 25th and has since gradually declined.

This marked the highest volume seen for MKR in the past ten days. At the time of press, the volume stood at approximately $43 million, reflecting a significant decline.

However, there is some relief when examining the exchange netflow. The chart indicates that the most recent notable movement of MKR, which took place on January 25th, was an outflow.

During that day, more than 2,600 MKR were withdrawn from different exchanges, aligning with the last significant surge in volume on the Santiment volume chart. This implies that more assets were taken out of exchanges than were actually sold.

Despite recent inflows dominating the activity, they have not been able to match the volume of the previous outflow.

Mixed Signals in Maker Volume and Exchange Flow

AMBCrypto's analysis of Maker on the daily timeframe chart revealed a downward trend in the past few days.

After experiencing a notable uptrend on January 24th, with a gain of over 10%, prices reversed and entered a downtrend.

By the end of trading on January 27th, MKR had suffered a loss of over 3%, representing the largest decline since the start of the downtrend two days ago.

There is a possibility of further decline if the sales from the identified wallet continue. It is important to emphasize that the decline is not solely due to the volume of sales from the wallet, but also the reputation and identity of the wallet's owner.

Despite the recent declines, MKR has remained above its short and long-moving averages, represented by the yellow and blue lines respectively. Additionally, it has stayed above the neutral line on its Relative Strength Index (RSI) as of the current writing.

This indicates that the overall price trend has remained positive, despite the recent declines.