Mask Network price defied gravity on Thursday even as other cryptocurrencies recoiled. The token was trading at $3, which was about 35% above the lowest level this week. This rebound has brought its total market cap to more than $86 million.
What is Mask Network?
Data has become an important part of the internet today. It has become one of the biggest resources in the world that powers companies like TikTok and Google.
Mask Network is a blockchain platform that seeks to change how people handle their data. It is an encryption platform that works through its browser applications.
Users just need to download and install the app and then run it. For example, with the Mask Network installed, one can easily send encrypted Twitter messages. Other things that can one can do are to save files, verify NFT avatars, and shop privately.
MASK crypto price recovered as investors reacted to its exposure to Alameda and FTX crisis. In a statement, the developers accepted that Alameda Research had invested in the company. The firm invested $50,000 in its Series A round. As such, Alameda holds less than 500 million worth of the MASK token.
In addition, the developers said that FTX was not a market maker for the coin. It made the announcement in a bid to assure investors that it had no significant exposure to the failed company.
In the past few days, many coins that Alameda held have all crashed hard as investors expect that the company will liquidate them. They include coins like Near Protocol, Solana, and FTX Token. Therefore, this clarification is likely the main reason why Mask is doing well.
Mask Network price forecast
The four-hour chart shows that the MASK price has been in a strong bearish trend during the ongoing crash of FTX and its ecosystem. It is now trading at $3, which is above this week’s low of $2.20. The current price is important since it was its highest point on October 30th.
Mask Network has also fallen below the 25-day and 50-day moving averages while the Stochastic Oscillator has moved close to the neutral point. Therefore, there is a likelihood that the coin will resume the bearish trend amid the rising contagion risk. If this happens, the next key support level to watch will be at $2.15.