Throughout the past couple of years, chainlink has experienced a monstrous rally. Its gains are being unparalleled by virtually all other major altcoins. An analyst thinks that Chainlink is well-positioned to rally towards $10 in the coming months.
Last night, this momentum has reached to its peak. The crypto soared up to highs of nearly $8.50 before hitting some resistance which hinders its ascent and led to a slight selloff.
It is of significance to notice that the fundamental strength is the one driving the cryptocurrency’s uptrend. Furthermore, on-chain data is suggesting that it could be a long-lasting trend.
The balance of LINK on exchanges has been experiencing a decline throughout the past several weeks and even months. Moreover, the exchange outflows for the token just strike a new all-time high last night.
This portrays a sign that investors are opting a long-term approach to their Chainlink positions. It also suggests that they may not be apt to offload them for quite a while.
Chainlink Shows Signs of Immense Strength, Following Latest Surge
At the moment, Chainlink is trading up marginally with the current price, $7.42. It marks a noticeable decline from its daily highs of just under $8.50.
The resistance at this level proved that the buyers can not overcome it. Plus, the crypto has been going lower ever since.
Nonetheless, LINK still seems to be incredibly firm, after seeing its short-term price action. It is trading well above its 24-hour lows within the $6,000 region.
It has been able to obtain a steady uptrend over the past week. It is climbing from lows of $5.60, set just a few days ago.
This price action is not dependent on the rest of the cryptocurrency market. Considering the Bitcoin which is trading sideways within the lower $9,000 region.
Furthermore, it seems that Bitcoin’s consolidation phase is providing a good backdrop for altcoins to rally against. Many traders have been able to post significant gains over the past couple of weeks.
Usually, s intense decline follows a market-wide pump. On the contrary, Chainlink may be able to avoid any potential retrace because of its fundamental strength.
Analyst: Chainlink is Well-Positioned to Rally Towards $10 in Coming Months
A notable cryptocurrency analyst remarked his beliefs that Chainlinks is well-positioned to rally towards $10 by the end of this year.
However, there is no telling as to just how far it may rise before losing the momentum. It is because Chainlink appears to be in a full-fledge price discovery mode.