Is the Chainlink (LINK) leading the way?
While the entire cryptocurrency market is picking up steam and many consider that we are entering a new bull run, some altcoins are showing exceptional performance, notably the LINK token of the Chainlink project.
In terms of volume this weekend, the LINK achieved the feat of surpassing that of Bitcoin, and this on many platforms. Sure Binance in particular, for a few hours, the volume of the LINK exceeded the $ 500 million, placing it on top of Bitcoin.
Note that this is twice the volume of theEther (ETH) over this period. For an ERC-20 token based on this blockchain, the feat is notable. This performance was also seen on Coinbase Pro at the same time.
In addition to its volume, the price of LINK continues to increase. Since its fall in March, the price of the LINK has been multiplied by 11 in the space of 150 days, from $ 1.33 at its highest point ever, $ 14.46 :
Evolution of the LINK price since mid-March – Source: Trading View – LINK / USDT
Today, nothing and nobody seems to stop this rise in LINK, driven by a community very present on social networks. It is difficult to know if this trend will stop soon, as the progress of the LINK is dazzling.
LINK floods the market
The LINK at the gates of the top 5
According to data from Messari, the total market capitalization of LINK today represents $ 4.8 billion. This places the altcoin at the 6th position of the most capitalized cryptocurrencies, just behind the Bitcoin Cash (BCH) with $ 5.7 billion.
For an ERC-20 token, this performance is particularly surprising and proves the confidence that the market places in the LINK:
The LINK is at the gates of the top 5 – Source: Messari
👉 Read our explanatory sheet on the Chainlink project
Discover the LINK on Binance »
Foolproof resistance to FUD
This rapid rise of the LINK does not appeal to everyone. Last month, an asset manager known as Zeus Capital published a lengthy report aimed at discrediting the Chainlink project.
Through this report, Zeus Capital was trying somehow to convince traders to short the LINK by propagating a sentiment of FUD.
It should be noted that on Twitter, many Chainlink supporters have investigated this mysterious, previously unknown asset manager. Some allege that Zeus Capital is the work of the Nexo cryptocurrency lending platform.
So what’s the connection then to the recent upward explosion of the LINK? Height for Zeus Capital, his operation totally failed, and more than you think.
True to its call for the massive LINK token shorts, Zeus Capital has played too much with fire. As LINK began its sharp rise last weekend, a portfolio suspected of belonging to Zeus Capital was liquidated for an amount of more than $ 9 million.
The disastrous operation was spotted by HsakaTrades on Twitter:
The portfolio supposedly linked to Zeus Capital contracted a loan of 1.56 million LINK ($ 17 million at the time of the facts) in return for USD 21.97 million.
At around 4.30 p.m. UTC on August 9, the LINK price exceeded the liquidation point of the loan set at $ 11.28. The portfolio was then liquidated from $ 9.1 million of its collateral in USDC, or approximately 738,000 LINK.
Dark end for Zeus Capital, which sought by all means to cause the price of the LINK to fall. The market will therefore have been stronger and will have caused colossal financial loss for the asset manager.
👉 On the same theme: The Nexo crypto lending platform integrates Chainlink’s oracles
Currently, the LINK continues on its strong uptrend, despite all the attempts at FUD it has undergone since the beginning of its existence. Nothing seems to be able to stop its progress.
With a fundamental aspect that is getting stronger every day, the Chainlink project certainly has a bright future ahead. However, from a technical point of view, its course is not immune to a slight correction in the days to come.
👉 To go further: a subsidiary of Deutsche Telekom now operates a Chainlink node
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About the Author : Clement Wardzala
Since 2017, I have been interested in Bitcoin, cryptocurrencies and associated blockchain technology. I firmly believe in these technological innovations and that they are already revolutionizing many sectors.
All articles by Clément Wardzala.