LINK faces grim downturn which could lead the price to $6.85 price level as we are about to read more in the chainlink coin news.
Chainlink’s price action was quite bearish lately when the cryptocurrency was unable to hold above the $10.00 despite its technical strength that resulted from its recent rebound at $7.00 region. it now seems that the v-shaped recovery that was posted from these lows was not good enough o alter the near-term outlook as it seems to be at risk of seeing further downsides. The weakness came about as a result of the turbulence in the rest of the market. Bitcoin’s price faced an increased sell-side pressure because of the latest CFTC charges against the BitMEX owners as well as the turbulence on the stock market.
This was not good for the altcoins as many posted huge losses as investors fled from the “beta assets” in search of lower-risk assets such as BTC and stablecoins. Looking at the Chainlink price action, we can see that LINK faces a grim downturn as the asset was looking for a move down to the August low. This means that it can soon drop a lot lower in the upcoming days and weeks. At the time of writing, Chainlink was trading down by 4% at a current price of $9.22 which marks a notable decline from the recent highs of $10.50 which were set before the recent selloff.
The price action was weak ever since it declined from the multi-month high of $20.00. The intensity of the selloff was severe but it does seem like it struck a major blow to the underlying strength. $10.00 was a pivotal level for LINK’s price although the bulls have so far been unable to secure the strong positioning above this level. speaking about where the price could go next, one analyst said that he is looking for another move towards the cryptocurrency’s low of $7.00:
“LINK update. Probably get a bounce here at ‘July high’. Once we can clear this level, i’ll tighten stops and look to add more targeting ‘August open’ and then ‘August low.’”
Where will the market trend next will determine the fate of Chainlink but it remains unclear whether or not it will be able to garner enough independent momentum to break the downtrend.
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