“Can See Summits or Eat Dump”: Here are Interesting Predictions for Popular Altcoin
The tremendous strength of the popular altcoin Chainlink over the past few years has made the cryptocurrency one of its “most bullish-prone” assets. This price move allowed Chainlink to create a market structure that made it rise to an all-time high just a few months ago.
Analysts now state that cryptocurrency is better positioned from a technical point of view, because they can bid at the highest levels previously set. It should be noted that this technical force is the trend that emerged historically before the big price drops. If history repeats itself, according to some analysts, crypto money may soon take a dive that overrides the macro bullish trend.
Technical analysts: Popular altcoin Chainlink may experience a big drop
At the time of writing, Chainlink is marginally traded at its current price. The cryptocurrency has seen tremendous volatility over the past 24 hours and rose, then experienced a drastic rejection, lowering current price levels. This price action occurred in conjunction with what was seen in the Bitcoin market. The leading cryptocurrency is trying to gain momentum upward after following a similar trend with bitcoin in Bitcoin.
There is a trend that can cause Chainlink to experience some significant short-term losses. Recently, social volume for crypto money has increased further. Over the past six months, erroneous increases in social volume occurred just before sharp price drops. Data analysis platform Santiment spoke about it and explained that these increases tend to always be associated with local summits:
IT IS INTERESTING TO SEE HOW THE PAST SIX MONTHS HAVE CALLED LINK . OVERALL, THESE HIGH INCREASES ARE ALMOST ALWAYS ASSOCIATED WITH A LOCAL SUMMIT, SO BE CAREFUL TO SEE HOW THIS CURRENT MID-LEVEL SOCIAL VOLUME BAR CLOSES.
Nik Patel: Chainlink rises hard to see $ 5
It is important to note that despite this potential downward trend, some analysts still believe that crypto money will rise more. An analyst spoke about it in a recent blog post and explained that he expects Chainlink to see a $ 5 rally to all-time highs if he can take a clean break at $ 4.30 in the resistance he faces. Nik Patel added the following to his analyst statements:
THE RESISTANCE LOAD IS $ 4.30, AND IF THE PRICE CAN RISE ABOVE THIS LEVEL, I WOULD EXPECT THE ALL-TIME HIGH TO BE TESTED PRETTY QUICKLY. OVERRIDE FOR LONG PRODUCTS WILL BE A CLEAN BREAK BELOW $ 3.40.