In the past two weeks, Chainlink has struggled to break out of the $6.66 and $7.98 support and resistance levels. This is despite the platform’s continued efforts to improve, including the latest announcement that it was hiring a former Google AI developer who was behind the TensorFlow AI system.
In today’s trading session, The prices are down by a percentage point. However, the cryptocurrency is looking likely to continue with the bearish move. This month, Chainlink has also dropped by 34 per cent, extending a bearish trend that has resulted in a year to date price loss of 62 per cent.
Recent reports also indicate that Chainlink may have been favoured by Bullieverse to provide VRF on Polygon and Ethereum. According to the reports, the chainlink platform will be used to leverage Bullieverse’s Verifiable Random Function (VRF) on Ethereum and Polygon. The announcement will see the usability expand to the metaverse and NFTs.
The Chainlink project was also chosen due to its cutting edge academic research that is backed by an established oracle network. The choice is a continuation of the recent adoption of Chainlink by other platforms. The decision is also likely to see an increase in the number of projects using Chainlink. This will impact the prices and help the crypto recover from the recent price drops.
The chart below shows prices have traded within narrow margins of $6.66 and $7.98 support and resistance levels, respectively, for the past two weeks. The chart also shows today’s trading session is down and likely to continue with the fall. Looking at the larger trend, the prices are still in a bearish move.
Therefore, using the chart below, I expect the prices to continue trading sideways within the support and resistance levels. There is also a high likelihood of prices recovering tomorrow to continue the sideways trend. However, if the prices break above or below the support and resistance levels, then my analysis is invalidated. It will also mean a start of a new trend.
This post was last modified on %s = human-readable time difference 16:31