EOS price analysis: EOS/USD down 9% on a daily basis; EOS accounts at risk, research shows
|- EOS drops below $7.00 amid growing bearish pressure.
- PeckShield revealed EOS secret key vulnerability.
EOS is one of the worst performing virtual currencies from top-10, down 9% since this time yesterday. The coin touched $6.74 and recovered to $6.84 by press time. EOS market cap slumped to $6.1B from $6.9 on Tuesday, while average daily trading volumes settled at $690M.
EOS project is living through a hard time as numerous delays of mainnet launch, frozen accounts, and galloping RAM costs discourage community and increase the population of EOS critics. To add insult to the injury, blockchain security company PeckShield analyzed the security of EOS accounts and revealed a significant vulnerability: secret key generation tool allows to use a weak mnemonic combination, which means that the key is not secure and vulnerable to so-called rainbow attacks.
“The essence of the risk is caused by improper use of third-party EOS key-pair generation tools, including but not limited to EOSTEA. With user-provided seeds, these tools greatly facilitate users to generate their EOS key pairs,” the company wrote.
EOS technical picture
Looking technically, the sustainable movement below $7.00 support is an ominous sign. As the coin touched a low at $6.74, the focus shifted to $6.00-$5.9 support area. Once it is cleared, the downside may be extended towards $5.1. On the upside, the ultimate resistance is seen at $10.19 (200-DMA), but we have to clear $8.00 and $9.00 before we get there, which looks unlikely at the current stage.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.