Should I invest in Mirror Protocol (MIR) at the current price?

By: Stanko Iliev
Stanko Iliev
Stanko is a Financial Analyst for Invezz covering stocks, cryptocurrencies, and worldwide indices. He has significant experience trading forex,… read more.
on May 25, 2022
  • Mirror Protocol is a promising project
  • Mirror enables the creation of crypto tokens that track the price of real-world assets
  • MIR remains under pressure

The Mirror Token MIR/USD has weakened from $1.06  to $0.20 since the beginning of May 2022, and the current price stands at $0.38.

Mirror enables the creation of crypto tokens that track the price of real-world assets

Mirror Protocol is a decentralized finance (DeFi) platform that allows users to issue crypto tokens that track the price of real-world assets, such as stocks.

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These crypto tokens or synthetic assets are called Mirrored Assets (mAssets), and they give traders open access to price exposure without the burdens of owning or transacting real assets.

Mirror Protocol manages markets for mAssets by listing them on Terraswap against UST, and it is important to say that there is always sufficient collateral within the protocol to cover mAssets.

The minting of mAssets is decentralized, and this process occurs throughout the Mirror platform by opening a position and depositing collateral.

Mirror Protocol is a project developed and steered by its community, and it is powered by smart contracts on the Terra network.

The Mirror Token (MIR) is Mirror Protocol’s governance token which is also used to reward users who stake tokens obtained through providing liquidity.

Mirror Token must be staked to vote on active polls, and MIR tokens are distributed as rewards to MIR stakers and voters in proportion to the percentage of the total stake.

The Mirror Token (MIR) has achieved an impressive gain in the first days of April 2022, and it reached a price level above $2.20 on April 05.

MIR is currently down more than 80% from its recent highs; still, Mirror Protocol is a very interesting project, and the price of MIR could advance again to levels that we saw in April 2022.

Bears in control of MIR

Technically looking, the Mirror Token (MIR) remains under pressure, but the current price level represents good value for what you pay, and maybe now could be a good time to invest in this cryptocurrency.

Data source: tradingview.com

If the price jumps above $0.80, it would be a signal to trade this cryptocurrency, and we have the open way to a resistance level that stands at $1.

The current support level for MIR stands at $0.30, and if the price falls below it, the next price target could be at $0.20.

Summary

Mirror is a DeFi platform powered by smart contracts on the Terra network that enables the creation of crypto tokens that track the price of real-world assets. Mirror removes traditional financial barriers by enabling any user to own fractional amounts of an asset, and the protocol continues to evolve with new ideas through democratic governance.

Where to buy right now

To invest simply and easily, users need a low-fee broker with a track record of reliability. The following brokers are highly rated, recognised worldwide, and safe to use:

  1. Etoro, trusted by over 13m users worldwide. Register here >
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*Cryptoasset investing is unregulated in some EU countries and the UK. No consumer protection. Your capital is at risk.