Chainlink’s Pricing Head and Shoulders Pattern Suggest Further Declines

As the cryptocurrency market lost some of its weekend gains on Monday, the Chainlink price fell marginally. LINK is currently trading at $16.75, down 42% from its January high and 70% from its all-time high in 2021.

What’s going on with LINK?

In terms of blockchain initiatives, Chainlink is the biggest. Its native token, LINK, has a market cap of $7.8 billion, ranking it as the world’s 20th most valuable cryptocurrency.

Given the lack of big rivals in its field, Chainlink is a very unusual undertaking. Like Ethereum, Solana, or Polygon, it is not part of the layer one or layer two ecosystems.

Chainlink doesn’t have a platform for individuals to develop decentralized apps, which is why this discrepancy exists.

As an alternative, it provides an intelligent oracle system that aids app developers in integrating data from non-blockchain sources into blockchain systems.

Thanks to Chainlink’s cooperation with the Weather Channel, including weather data into blockchain applications is now feasible. Likewise, one may use its APIs to incorporate data from other sources, such as the stock market and traffic.

As a result, when other blockchain platforms like Ethereum, Binance, and Solana perform well, Chainlink does well.

Several Chainlink Labs announcements lately had an impact on the price of Chainlink. Earlier this year, Google announced that Eric Schmidt would join the company’s board of directors. Since Schmidt is one of the world’s most experienced specialists, this was a significant development. He was CEO and chairman of Google.

Chainlink revealed last week that Christian Catalini had been engaged as a technical advisor by the company. Diem, Meta Platforms’ blockchain platform, was co-created by Catalini. These assets were sold by Facebook earlier this month.

Chainlink price prediction

Since the beginning of the year, the LINK price has been subjected to a significant amount of volatility. The currency has dropped to a low of $13.67, matching its July 20th low. It recouped some of its losses but ran into firm resistance around $18.

MACD has crossed below the neutral line and is now below the 25 and 50-day moving averages for Chainlink. The design has taken on the appearance of a head and shoulders when seen up close.

As a result, the coin’s price is anticipated to continue decreasing as bears aim for the coin’s next critical support level at $10, as indicated by this Chainlink price prediction.