Chainlink ($LINK) has become an essential and influential player in the crypto ecosystem. This is evidenced by recent developments and several impactful partnerships that have attracted a huge amount of market interest behind LINK. It’s trading at $26.11, with a 24-hour price change that amounts to a reasonable 1.26%. This puts LINK’s market cap at about $16.67 billion and pushes its trading volume to around $1.46 billion.
LINK itself has shown some decent performance lately. In fact, I’d say overall it has a steady upward trend with some minor pullbacks. Last week, I think it was, it traded around $24, with some really nice support there. The first key resistance point to watch for is around $28. If the market can break that level, then I think the next stop could be around $30. And from what I hear, if it gets above that, then more liquidity could start coming in [Source: insidebitcoins.com].
The price action of $LINK has recently been affected quite a lot—perhaps quite a bit more than was normal—by current news and events. Chainlink’s partnership with World Chain to provide cross-chain secure interoperability has been successfully launched [Source: crypto-news-flash.com]. This platform will allow for communication between different blockchains. Cross-chain communication has been a challenge in the past. Indeed, it’s an area where Chainlink’s technology gets to shine.
A technical analysis of $LINK shows a bullish pattern. The most recent price action is in the process of forming an ascending triangle. This is defined as a series of higher lows above a horizontal resistance level. If this price pattern completes its construction, it should break upward and continue the current bullish trend, which is relatively healthy right now. The RSI measures approximately 55—anything above 50 basically means bullish for this indicator. And speaking of the upward swing, the volume of trading has been increasing nicely this whole time. So, very quietly, Chainlink has been commanding a nice, smart-money rally.
The bullish sentiment for Chainlink also has support from on-chain and social analysis. There has also been a growing amount of developer activity on the platform, which suggests an optimistic future of $LINK
In the larger market context, the performance of $LINK is in sync with the overall trends of the crypto market. Upcoming catalysts, including the potential approval of a Bitcoin ETF, could also serve to further enhance $LINK’s performance. Yet, big question marks hang over potential future price increases for $LINK. Upcoming market volatility could serve to mute any bullish price projections for $LINK.
The danger exists that LINK’s actual price performance could diverge from what technical analysis proponents and social media influencers seem to indicate is a foregone conclusion—that LINK’s price is set to break out. Indeed, the price projections that get the most attention seem to have been pulled straight out of a hat.
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.
The past few days have seen the attention of the cryptocurrency community caught by large-scale…
The decentralized finance (DeFi) space keeps showing remarkable market behavior, with the AAVE protocol attracting…
One of the world's leading cryptocurrency exchanges, Binance, has recently been dealing with a number…
The cryptocurrency sector is experiencing an uptick in activity from large holders of digital assets,…
In a troubling indication for the AAVE community, a number of the cryptocurrency's large holders,…
In a recent development that has caught the attention of the cryptocurrency community, #PumpFun, a…
