Chainlink has been caught up in extreme volatility over the past few weeks, with its price seeing intense momentum before confronting an increased level of selling pressure that saw it on a downward spiral.
This instability has occurred as discussions about Chainlink’s development heats up, with the mass media outlets covering its rise and well known social media influencers like Dave Portnoy peddling it to their followers.
In spite of this, Chainlink is giving a few indications of shortcomings at the current time, with buyers being not able to keep up the momentum that it saw a week ago.
Accordingly, the cryptocurrency has confronted a solid retrace that still can’t seem to bring about a rebound.
This has driven one expert to say that the cryptocurrency has broken its previously bullish market structure for the first time in ages.
As a result of this, the expert is foreseeing Chainlink experiencing some sizable short-term downturns, which could see lows of 10.00 USD in the coming weeks.
Chainlink Consolidates Following Strong Rejection Over 20.00 USD.
At the time of publishing, Chainlink is trading up just shy of 3% at its present price of 16.54 USD.
These increases have come to fruition because of the solid rebound it was able to mount at 14.00 USD, with buyers then building support level at 15.00 USD.
The numerous rebounds it was able to mount at this support level has permitted the cryptocurrency to avoid the market-wide decline seen today and post some minor increases.
Be that as it may, it is still trading substantially lower than its weekly highs of 20.00 USD that we saw just a couple of days ago.
The strong upswing that drove it up to these highs occurred after Barstool Sports founder Dave Portnoy peddled the cryptocurrency to his 1 million followers, buying Chainlink and Bitcoin during a recent meeting with the Winklevoss Twins.
Chainlink’s Resent Decline Hit Its Market Structure Hard.
Despite the strength seen today, experts are still expressing caution when it comes to Chainlink’s short-term outlook.
One expert said in a recent tweet that the rejection and fall from its 20.00 USD highs had broken its market structure.
As a result, he is foreseeing it to descend to one of its immediate support levels. These exist at around 13.00 USD and 10.00 USD.
Unless Chainlink extends its minor momentum today and starts heading back towards these highs, further declines are likely in the short-term.
