IOTA is back online after a damaging hack attack; IOT/USD down 40% on a month-on-month basis

• IOTA developers relaunched the Coordinator node after a devastating hack attack.
• IOT/USD is positioned for recovery once $0.2000 is cleared.

The IOTA developers team announced today that the Coordinator node used to confirm transactions and serve as a security guard against hack attacks had been finally restarted.

We are delighted to announce that the Coordinator has been resumed. Read about the steps taken to protect Trinity users, the role of the Coordinator & the future development of IOTA.

As the FXStreet has reported earlier, a massive hack attack that exploited a vulnerability in the Trinity Wallet and caused users nearly $2 million, forced developers to effectively stop the network to prevent further losses until the issue is solved.

It took IOTA nearly a month to resolve the issue and relaunch the Coordinator node, while IOT/USD has lost over 40% of its value in the meantime. 

Notably, IOTA co-founder David Sonstebo offered compensation to all users who lost money due to the hack attack. Meanwhile, the team urges all Trinity Wallet users to use use of the seed migration tool to protect their coins.

IOT/USD: Technical picture gives hope 

Currently, IOT/USD is changing hands at $0.1973, mostly unchanged on a day-to-day basis; despite the technical woes, the coin is still 25% higher from the levels. registered at the beginning of the year. 

From the technical point of view, IOTA bottomed at $0.1783 on March 9, amid major sell-off on the cryptocurrency market caused by global risk-aversion.  

Considering that the RSI on a daily chart has started reversing from the oversold territory, the upside scenario looks likely; however, we will need a sustainable move above $0.2000 to mitigate the initial bearish pressure and pave the way for further recovery. Once this barrier is out of the way, the upside is likely to gain traction with the next focus on even stronger resistance created by a combination of SMA100 daily and the middle line of the daily Bollinger Band at $0.2275.

On the downside, the initial support is created by $0.1900. If this barrier gives way, the sell-off may be extended towards the recent low of  $0.1783 and to December 2019 low of $0.1485, followed by the lower line of the weekly Bollinger Band at $0.1420.

IOT/USD daily chart