In the volatile and unpredictable world of cryptocurrencies, major transactions often signal impending market movements. Recently, Lookonchain, an on-chain analytics firm, reported a substantial transfer of MASK tokens, initiated by the Mask Network Foundation.
According to their findings, the foundation moved nearly 3 million MASK tokens out of its wallets, an event that could potentially lead to significant market fluctuations.
At the time of writing, the token was trading at $3.69, following a decline of over 2.5% over the past 24 hours. The noteworthy shift of 2.5 million MASK tokens, equating to over $9 million, could potentially trigger further price variations.
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The intent behind the substantial token transfer remains speculative, prompting varied interpretations within the crypto community.
Mask Network Foundation transferred 3M $MASK ($11.25M) out today.
— Lookonchain (@lookonchain) June 23, 2023
Mask Network Foundation’s Large-scale Transfer
According to Lookonchain, the Mask Network Foundation distributed 2.5 million tokens, which are worth more than $9 million, between Binance and OKX. An additional 500,000 tokens were also transferred out of the foundation’s wallets, but they have not yet surfaced on any exchange platform so far.
This particular move has led to speculations of an impending sell-off within the next 24-48 hours. Meanwhile, the transfer could signify the Mask Network Foundation’s strategy to bolster market-making activities.
By moving a significant number of the tokens to exchange platforms, the foundation could be aiming to stimulate trading volume and attract a wider range of traders to the project. Despite the 2.5% drop in MASK’s value, the move could potentially stabilize the token’s price by fostering liquidity and demand in the market.
While it’s too early to definitively predict the impact of these transactions on MASK’s market position, the movements undeniably indicate an upcoming shift in the MASK network token market.
MASK’s Latest Price Action
The MASK token price has increased in the past 7 days, with the token breaking multiple resistance levels. MASK is currently trading at $3.70, up by nearly 10% over the past week. However, over the past 24 hours, MASK has seen a slight decline down by 2.5%.
Though it is not certain if there has been any huge sell-off yet of the tokens transferred to exchanges, the token has plunged from its 24-hour high of $3.84. The token currently has a market capitalization of $302.6 Million, making it rank 107th among the largest cryptocurrency by market cap.
MASK’s daily trading volume has also significantly moved in the past 7 days. The token’s volume has surged from as low as $31 million last Friday to as high as $93 million in the past 24 hours.
The slight decline in the token’s price can be attributed to either the trader’s fear of such a massive influx into exchanges or the overall bearish sentiment in the cryptocurrency market.
Featured image from iStock, Chart from TradingView