It depends who you ask. My answer would be you are better off spending this day somewhere else. If you are just going for the market, I do not think it is worth it. I have been during the week and then on the weekend for the "famous" weekend market. While the market is great, you can find most of those things in the market in La Mariscal in Quito and with a lower starting price.
However, if you go to Otavalo and plan on seeing the market AND going to the laguna, I think it is worth it. There is a lot to see in Otavalo that is not just the market. There is a waterfall called Peguche Waterfall that a lot of people rave about.
In a car, the drive is about an hour and forty minutes which is not too bad. If you are taking private transport then the day trip is a lot easier. If you plan on taking public transport, the day trip is a bit longer and more tiring (IMO). To take public transport you will have to take a bus or taxi up to the northern terminal, Carcelen and then grab a bus to Otavalo. When I did this, it took be about three hours one way. It can be a long day if you plan on taking public transport, so think about it wisely before going or find a deal with someone for private transport.
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