• Since setting highs in August, Chainlink has plummeted.
  • As of this post’s writing, the coin currently trades at about $8.50, well below the all-time highs set at $20.
  • After leading altcoins endured a heavy fall after Ethereum dropped through main supports, the correction comes from cryptocurrency.
  • As the crypto reaches pivotal technological thresholds, Chainlink might be prone to an even more profound decrease.
  • One trader noted that it will find some help around now if Connect bounces.
  • This bearish assertion comes as some other analysts have said Chainlink is likely bottoming on a macro time frame.

CHAINLINK IS POISED TO DROP EVEN FURTHER IF THIS LEVEL IS LOST

One crypto trader thinks that after falling over 50 percent from its all-time peak, if Chainlink (LINK) falls any lower, a substantial drop could ensue. He recently posted the chart below, noting that the cryptocurrency is currently running up against a critical support level that marked a July rally high.

That level’s historical significance indicates that a strong correction would follow if Relation loses it as assistance.

“Yikes. If there’s any short-term saving grace for Chainlink, it’s here imo. A bounce towards $9.50-10 is reasonable.”

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Chart of LINK’s price action over the past few months with analysis by crypto trader and chartist Loma (@LomahCrypto on Twitter). Chart from TradingView.com

Another market commentator reiterated this, adding that the cryptocurrency is coming up against a degree of “giga” support that should hold or else things could get “ugly” for the coin.

“Chainlink at absolute Gigasupport. Link marines have an opportunity to save LINK from the giga nuking. Below $8.50 would probably get pretty ugly, as everyone from the last month and a half would be underwater…”

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