Chainlink Suffers 40% Loss In Last 7 Days – Can LINK Regain $9 Mark This Week?

Christian Encila

Last Updated: November 15, 2022 1:33 pm

3 mins read

Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Created by industry experts and meticulously reviewed

The highest standards in reporting and publishing

How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

Chainlink (LINK) managed to trim its losses after it made a bounce back despite the continuing uncertainty in the crypto market caused by Bitcoin and Ethereum’s recent respective declines.

According to data from Coingecko, at the time of this writing, the crypto asset is changing hands at $6.48 and has been up by 3% for the past 24 hours.

Here’s a quick glance at how LINK has been performing this month:

Chainlink relinquished the $9 territory following the recent collapse of the crypto market
LINK made a small recovery that pushed its trading price above the $6 marker
Technical indicators point towards another bearish momentum for LINK

As it reclaimed the $6 marker, LINK was able to cut its seven day – deficit, from 40% last week to just 26.9% over the last seven days.

It can be recalled that after climbing all the way to $9.47 on November 8, the altcoin, along with its fellow digital currencies, suffered and plummeted all the way down to $5.69.

Currently, Chainlink ranks 23rd in terms of market capitalization, with an overall valuation of $3.17 billion. It is one of the few crypto assets that have tallied increase in its spot trading price.

Technical Indicators Point To Further Bearish Trend For LINK

As of this time, analysis points for LINK price leans towards the suggestion of another challenging run for the digital asset.

Its Relative Strength Index (RSI) settled below the 50-neutral zone, indicating that Chainlink is once again caught in a downward trend.

Source: TradingView

Moreover, its Chaikin Money Flow (CMF) fell below the 0.05 value, suggesting that there was significant capital outflow in LINK’s market performance.

Meanwhile, the crypto asset’s OBV indicated that there is a notable level of accumulation of the token during the period when it was trading at a narrow range since the month of May.

Over the last six months, Chainlink was able to establish $6.3 as a steady support level. However, if the broader crypto market fails to make a bounce back soon, the asset could be looking at a decline below the $5.9 marker.

Traders who are looking to take advantage of the current dip could test to buy between the $6.3 and $5.9 levels and try to make profit via the mid-range and high-range highs.

Chainlink Holders Sustain Heavy Losses

It turned out that Chainlink holders got worried when the asset experienced severe price correction as it abandoned the $9 marker.

As evidenced by the 365-Market Value to Realized Value (MVRV) that was also in an uncontrollable freefall, LINK token owners cashed out their holdings due to fear of tallying even bigger losses.

One good thing though for the crypto asset is its network growth metric which recorded a huge spike that surpassed the levels it set in September and October last year.

Still, investors must keep in mind that if Bitcoin continues to falter and thus fails to push its price to higher levels, there’s a big chance that LINK and other altcoins will keep on struggling.

LINK total market cap at $3.17 billion on the daily chart | Featured image from Watcher Guru, Chart: TradingView.com

Christian Encila

They say journalists never truly clock out. But for Christian, that's not just a metaphor, it's a lifestyle. By day, he navigates the ever-shifting tides of the cryptocurrency market, wielding words like a seasoned editor and crafting articles that decipher the jargon for the masses. When the PC goes on hibernate mode, however, his pursuits take a more mechanical (and sometimes philosophical) turn.

Christian's journey with the written word began long before the age of Bitcoin. In the hallowed halls of academia, he honed his craft as a feature writer for his college paper. This early love for storytelling paved the way for a successful stint as an editor at a data engineering firm, where his first-month essay win funded a months-long supply of doggie and kitty treats – a testament to his dedication to his furry companions (more on that later).

Christian then roamed the world of journalism, working at newspapers in Canada and even South Korea. He finally settled down at a local news giant in his hometown in the Philippines for a decade, becoming a total news junkie. But then, something new caught his eye: cryptocurrency. It was like a treasure hunt mixed with storytelling - right up his alley!

So, he landed a killer gig at NewsBTC, where he's one of the go-to guys for all things crypto. He breaks down this confusing stuff into bite-sized pieces, making it easy for anyone to understand (he salutes his management team for teaching him this skill).

Think Christian's all work and no play? Not a chance! When he's not at his computer, you'll find him indulging his passion for motorbikes. A true gearhead, Christian loves tinkering with his bike and savoring the joy of the open road on his 320-cc Yamaha R3. Once a speed demon who hit 120mph (a feat he vowed never to repeat), he now prefers leisurely rides along the coast, enjoying the wind in his thinning hair.

Speaking of chill, Christian's got a crew of furry friends waiting for him at home. Two cats and a dog. He swears cats are way smarter than dogs (sorry, Grizzly), but he adores them all anyway. Apparently, watching his pets just chillin’ helps him analyze and write meticulously formatted articles even better.

Here's the thing about this guy: He works a lot, but he keeps himself fueled by enough coffee to make it through the day - and some seriously delicious (Filipino) food. He says a delectable meal is the secret ingredient to a killer article. And after a long day of crypto crusading, he unwinds with some rum (mixed with milk) while watching slapstick movies.

Looking ahead, Christian sees a bright future with NewsBTC. He says he sees himself privileged to be part of an awesome organization, sharing his expertise and passion with a community he values, and fellow editors - and bosses - he deeply respects.

So, the next time you tread into the world of cryptocurrency, remember the man behind the words – the crypto crusader, the grease monkey, and the feline philosopher, all rolled into one.

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.