Tuesday, December 6, 2022
HomeBusinessChainlink has now lost critical support. Does this ring a bear bell?

Chainlink has now lost critical support. Does this ring a bear bell?

chain link

( LINK/USD) is now in imminent danger of falling to new lows for the year. That was after the cryptocurrency lost support at $6, a key level it has held since May. The cryptocurrency is trading at $5.75. It’s not the lowest price of the year, giving hope that it can still defend support. However, judging by the price action, there has been a breakout and the bear market may continue.

Chainlink Labs did its part to address the risks posed by the FTX crash. On November 10th, the team launched the Proof of Reserve product to solve future trust issues. PoR products will help verify asset reserves, cross-chain collateral, and off-chain bank account balances of centralized exchanges. It also helps to check the exchange’s real world asset reserves. As a transparency measure, Chainlink appears to be heeding the growing calls to disclose reserves. Binance CEO Changpeng Zhao previously supported the disclosure following the FTX debacle.

Although this move means LINK has succumbed to the bear market in order to reassure investors. The cryptocurrency price has almost halved after a monthly high near $9.50.

LINK price outlook below $6 )

LINK/USD TradingView Chart

Day A clear breakout area of ​​the $6 support has emerged on the line chart, confirming a bear market for LINK. The RSI has yet to reach oversold levels, which means LINK has room to fall further. If the bulls fail to arrest the decline and bring LINK back to $6, the next level to watch is $4.5.

When to buy LINK?

The market is very bearish on the Chainlink token. A breakout supporting the downside and weak crypto sentiment reinforces the bearish bias.

Not yet

BUY Chainlink until it stabilizes at a suitable support level. A possible recovery to $6 or above could attract buyers. Otherwise, investors should consider buying LINK at $4.5 based on current price action and sentiment.

Where to buy link

eToro eToro is a global social investment brokerage offering investments in over 75 cryptocurrencies. It offers cryptocurrency trading commissions – free, and users on the platform can choose to invest manually or socially. eToro even has a unique CopyTrader system that allows users to automatically copy trades of popular investors.

BUY NOW LINK via eToro OKX OKX is a top cryptocurrency exchange offering over 140 cryptos Currency Investing in. OKX takes customer security very seriously, they keep almost all of their customers’ funds in cold storage, and the exchange has not been hacked yet. On top of that, the exchange offers very low fees and customers can even use their cryptocurrencies as collateral for loans on the platform.

Buy LINK with OKX today

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