The Chanlink price has crashed this year, a trend continues that began in December when it was at a high level of $ 30.78 at a high level.
Chenlink (link) dipped by $ 17.4 on Saturday, 43% below its highest level in December. Its crash reflects events between altcoins as most of them have retreated in the last few months.
Nevertheless, there are three major reasons why the link price can bounce back at the end of this year.
First, there are indications that many chainlink holders are not selling their coins. A piece of evidence is that this year the remaining amount on exchanges has been falling. Coinglass data shows that the remaining amount has fallen to the lowest level, 138.8 million link coins since September last year. They fell from 160 million in December.
Falling centralized exchange balance is an indication that investors are optimistic about coins, most of them have kept them stable in their self-cosmetics. In most of the periods, CEX remains the remaining jumps when investors are taking them from their purse to sell them.
There is a possibility of confidence among the chainlink holders as many of them hope that the Securities and Exchange Commission will approve a spot link ETF later this year. Such funds will flow more and its price will increase.
Due to its position in the Crypto industry, the channel price can also be rebound, where it is the largest Oracle network. Its total value is safe or TVS figure $ 35 billionIt is much higher than other ooracles such as chronicle, pythy and redstone.
Chainlink is also a big player in the Real World Asset Toking Industry through its cross-chain interoperability protocol. The CCIP is a major component in the industry that provides solutions to make property, scale, connect and asset in various blockchains.
Chainlink price analysis
Third, the channel price may bounce back due to its strong technology. The weekly chart suggests that the link is slightly above the 100-weekly moving average even after crashing up to 43% from its highest point in November.
The link has also created a huge megaphone chart pattern, characterized by two divesing trendlines. In most periods, this pattern leads to a strong rapid breakout.
In the case of links, the initial target of a reversal will be November high of $ 30, followed by a 61.8% retracement point of $ 35. A drop under the bottom of the megaphone will invalve the rapid link outlook.
