With Bitcoin jumping above $ 13,000, the overall crypto ecosystem has been filled with positivity. Chainlink (LINK) has been able to take advantage of the situation, because today we see it involved in a solid short-term uptrend, after a red cloud in which it remained involved for more than 2 months.
They had not been good months for LINK. After reaching an all-time high of $ 20.11, its price began to decline, falling back more than 60%.
However, it already seems quite certain that this corrective process is over, and it may soon be able to set new price records.
Chainlink bullish trend fueled by DeFi boom
It is well known that Chainlink’s excellent trend during the current year has been primarily driven by the incredible growth of decentralized finance.
The LINK chain has become the leading provider of oracles for smart contracts. These function as a bridge between the data of the physical world and the executions carried out by smart contracts.
Today with a totally bullish DeFi ecosystem, able to recently hit a new locked value high of more than $ 13 billion, LINK will take advantage of this trend to continue climbing in price.
But it is not just being in the decentralized finance space that ensures that this chain will continue to gain ground. A few days ago, the launch of the v3 PoolTogether version based on Ethereum was announced, this application being a lottery without losses in which users pool the funds and then deposit them in pools with which they generate returns.
In this new version a new Chainlink product is integrated, called VRF. With this, it is achieved that blockchain applications can verify the randomness within the contracts. This is one of the products that has recently gained traction in the DeFi space; and it will certainly function as an amplifier of LINK’s dominance over this space.
LINK vs USDT daily chart shows solid bullish direction
It is the daily time frame from where we observe a clean uptrend of Chainlink in the short term, and that is giving us signs of a very positive near future.
It is pending upward that we are seeing is also signifying the resumption of the medium-term trend, which was able to mark that historical maximum at $ 20.11. If this behavior continues, that maximum zone is probably not even a problem for the bulls, when they are looking to make a new high.
The moving averages EMA of 8 and SMA of 18 days are crossed to the upside and working as dynamic supports, in the middle of the uptrend that today makes us write this publication.
While Bitcoin is already on the verge of hitting the 2019 highs zone, Chainlink will not escape such an important positive sentiment in the ecosystem. LINK is quite likely to see gains of more than 100% in the next few weeks / months.
What do you think? Is the current Chainlink short-term trend a great sign of what’s to come? Let us know your opinion in the comments!
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