Chainlink’s price dipped alarmingly, registering close to 20% loss within an hour. This action happened hours after Bitcoin reached a local high of $12,499. Ethereum Classic, on the other hand, saw registered a recovery while Dogecoin failed to carry a lot of momentum and looked likely to slip further down in price.
Chainlink currently occupies 6th spot on CoinMarketCap’s list, after its market cap fell from $6.7 billion to $5.86 at press time.
The bearish divergence had played out, with price retreating as low as $14.8 on the pullback. A divergence is when price does not agree with the momentum of the indicators. In this case, the price made higher highs while RSI made lower highs, indicating the weakening of the trend.
It was still unclear what the future holds for LINK. It has been one of the strongest performing large-cap assets and it might be too early to decide that LINK is now set for a deep correction, based on this recent dip.
LINK needs to hold the support recently established near $16.6. The loss of this level can drop prices to $14.
Ethereum Classic [ETC]
Ethereum Classic experienced two separate 51% attacks that raised huge question marks over its network security. A hacker had performed OKEx trades, then accomplished a double spend on the ETC network, causing a loss of $5.6 million to users.
The coin’s price recently embarked on a recovery. At press time, Parabolic SAR gave a buy signal, strengthened by the fact that the 20 SMA (white) had crossed over the 50 SMA (yellow).
MACD indicator is also in the bullish territory.
Support in the short-term was near $0.00358 and $0.00335. CMF indicated weakening capital flow into the market and suggested a further decline in price was likely.
In recent news, cybersecurity researchers at Intezer found that the Dogecoin blockchain was being abused to breach certain cloud servers.