ChainLink (LINK) Price Explosion: What Happened? Ethereum (ETH) Price Rally Lacks Backbone, Can Bitcoin (BTC) Break Above 50 EMA?
U.Today – Chainlink has jumped ahead of the rest of the cryptocurrency market with an explosive 16% rally over the past two days. This rally can be attributed to a number of factors, not the least of which is the spike in activity in previously dormant wallets, which signals a resumption of movement within the Chainlink ecosystem.
The analyzes revealed a peak Age Consumed of 5.38 billion, a parameter that measures the multiplication of coins moved by the number of days they remained passive. This sudden mobilization of LINK tokens injected volatility and liquidity into the market, fueling the price surge.
LINK/USDT Chart by TradingView From a technical perspective, Chainlink price has breached crucial resistance levels, now attempting to establish new support. The price broke through the $15.29 mark, which previously served as a significant resistance barrier. This turn suggests strong bullish sentiment, with the potential for further growth if momentum is sustained.
The next resistance lies at around $18.39, a level that, if exceeded, could strengthen confidence in Chainlink’s uptrend. Conversely, if a retracement occurs, the $14.29 level could act as new support, providing a safety net for the price. A decline below this level could see LINK test the $13.18 support zone, where buyers could step in to support the market.
No power to
Ethereum, the second-largest decentralized network by market capitalization, is experiencing a period of stagnation, with the expected price rise showing signs of faltering. Despite Ethereum’s prominence in the blockchain space, the network is facing a significant challenge from competitors like , which are capturing a growing share of blockchain activity.
A closer look at Ethereum’s price movement reveals a lack of momentum that could be attributed to decreasing traction and volume on the chain. Ethereum price is currently consolidating around the $2,300 mark, struggling to find the strength for a decisive move. The key resistance level to watch is at $2,337, where the token has faced repeated rejections. A turn above this point could potentially lead to a test of the $2,450 zone, offering a glimmer of hope for bullish momentum.
However, support levels paint a cautious picture, with $2,193 serving as an immediate low. A break below this level could see prices slide towards the $2,042 level, which could further dampen market sentiment. The lack of volume accompanying recent price movements suggests an uncertain market, with investors perhaps waiting for a stronger signal of a trend reversal before committing to more substantial positions.
aim for the turning point
Bitcoin recently made a bold move, breaking above the 50-day exponential moving average (EMA), a key technical resistance level. This turnaround is a sign of strength from the leading cryptocurrency, indicating a potential reversal from the recent price consolidation.
The 50 EMA has historically acted as a litmus test for Bitcoin’s short-term trend direction. A sustained move above this line could validate bullish sentiment among investors, as the cryptocurrency seeks to establish a new foothold for further gains. Currently, Bitcoin price is hovering around $42,000, attempting to consolidate its position above the 50 EMA.
In terms of price analysis, the successful breakout of the 50 EMA has set the stage for Bitcoin to test the next resistance level near $43,500. This level is crucial as a break above could pave the way for a move towards the $45,000 resistance zone. However, it is essential to note that Bitcoin needs to maintain its current momentum to avoid falling back below the 50 EMA, which could dampen the optimistic outlook.
This article was originally published on U.Today