While Bitcoin has been stable recently, traders’ attention has shifted to altcoins. Chainlink (LINK), an Oracle service provider, has lately emerged as the market’s top choice for crypto traders.
Chainlink has been trading in the £5.37-£7.16 area for some time, which traders refer to as an accumulation zone. According to Santiment, an on-chain data provider, traders are making a move as Chainlink’s social influence grows. According to Santiment:
The market capitalization of Chainlink has decreased by 5%. Friday before jumping soon before the trading day (UTC) ended. $LINK had three social dominance spikes, suggesting that traders were making movements. The most recent occurred just as the price began to rise again.
Chainlink will outperform Bitcoin, according to Benjamin Cowen, the prominent crypto analyst and founder of Into The Cryptoverse (ITC). He said that LINK is now in the accumulation phase of the current down market and would outperform once the bull market begins.
Furthermore, the fundamental advances occurring in the Chainlink ecosystem are critical. Chainlink has been the preferred solution for various applications requiring smart contracts and secure data sharing.
Chainlink recently collaborated with SWIFT, the world’s biggest interbank payments system, to supply pricing feeds for testing cross-chain applications. “Chainlink serves as a backbone for many cryptocurrencies,” Cowen explained. He also said:
“One of the reasons I believe it hasn’t done as well recently, obviously, isn’t necessarily because Chainlink isn’t a great project, but rather because of overall market risk and the fact that we are, in fact, in a bear market, but I do believe the fundamentals of Chainlink shine through a bit better in the bear market than they sometimes do in the bull market.”
Another well-known trader, DonAlt, noted that LINK often outperforms during bear markets. During a recent interview, he also stated:
In 2018, 2019, and 2020, LINK outperformed the market as a whole. LINK was rising, and I believe that’s a solid narrative to follow, and it’s been outperforming in recent weeks. I believe LINK might benefit from another run.