Recent Chainlink price action indicates the crypto has been preparing for a strong push to the upside. In yesterday’s trading session, the crypto rose by 11 per cent. The session also marked a third consecutive day that Chainlink was trending upwards.
However, the expectations of a strong, aggressive push to the upside look to be not holding in today’s session. This is after prices have started trading with very low volatility and momentum. At the time of the writing, the Chainlink price is only up by less than 0.5 per cent. Since the markets opened, the prices have also toyed between bulls and bear trends.
The current slowdown in the markets also comes amidst increased developments and integration from Chainlink. This includes the latest announcement by the platform that they would be adding 16 integrations of three chainlink services across four different chains.
Chainlink has trended bearish for months, losing 60 per cent of its value this year and 32 per cent in the month of May. However, the past few sessions have overwhelmingly given signs of price reversal. This is after the last three days recorded a consecutive gain in the market. In today’s trading session, the price is also looking bullish, although with low momentum and volatility. Chainlink is already up by less than 0.5 per cent in the early hours of the trading session.
Looking at the chart below, we can see Chainlink gaining 20 per cent in the past three trading sessions. We can also see the prices trending upwards. It is highly likely that the chainlink price will continue rising throughout the session and in the next few trading session. I also expect the early morning lack of volatility to fade as the session progress. This will mean Chainlink closing higher today.
However, if the prices drop below the $6.6 price level, then my bullish analysis will be invalidated. It will also mark a continuation of the long-term bearish trend.
This post was last modified on May 31, 2022, 09:52 BST 09:52