Chainlink (LINK) dropped to a low of $17 amidst the market crash. The cryptocurrency has been increasingly volatile ever since it picked back up. At the time of writing, Chainlink stands at a price level of $22. The price of LINK coin has declined by 7% in the daily timeframe while the daily trading volume has increased by 25%. Chainlink is on a downtrend and the low of $17 may be retested by the cryptocurrency.
Chainlink (LINK) Technical Analysis
The market sentiment for Chainlink is bearish. Out of the total twenty-six technical indicators, fifteen are giving out a signal of sell with ten standing at a neutral position and only one indication of buy. Both the oscillators and moving averages are bearish for LINK coin.
Chainlink (LINK) has been identified on an upward trend by a trader. However, the recent bearish momentum in the market is expected to lead the cryptocurrency towards testing various important support levels. The first zone is from $10 to $20. If LINK coin cannot stabilize as low as $10 then it will enter $5 to $10 support zone. However, a trend reversal can also happen – given the recent increased volatility of the Chainlink coin. The identified trajectory is also expected for Bitcoin; hence, Chainlink is following the king of cryptocurrencies.
What to expect from Chainlink (LINK)?
Chainlink had risen to popularity with its unique proposition that connects enterprises with the blockchain. However, the recent volatility and majorly bearish momentum of the market has led to the cryptocurrency falling. Address data reveals that there haven’t been any recent increments to retail traders over the past month. Trader addresses holding LINK for less than a month have observed a drop as well. Overall, active addresses have shown low levels. The data may indicate that traders and investors are largely bearish and LINK may continue to spiral downwards.