Is Chainlink Going to Zero? LINK Price Drops 5% Suddenly as New Staking Coin Secures $200,000
As the Chainlink (LINK) community gather in Barcelona for SmartCon 2023, price action has taken a -5% tumble, as LINK's 16-month range continues to hold strong despite ANZ Bank partnership - but with fearful under-water bag-holders once again asking 'is Chainlink going to zero?' - find out in this LINK price analysis.
In a classic 'buy the rumour, sell the news' market move, the -5% drop comes following a convergence of major fundamental news and upper-range resistance.
Real World Assets (RWAs) are at the heart of the huge shift in fundamental winds, as Chainlink's cross-chain interoperability protocol has partnered with ANZ Bank following a successful pilot program with SWIFT in June.
With interest in tokenization on the rise, ANZ Bank have already piloted an Australian Dollar stablecoin and tokenized Australian carbon credits.
Amid the localized retracement move, Chainlink is currently trading at a market price of $7.94 (representing a 24-hour change of -1.34%).
The recent downside move shouldn't worry bag-holders, price tumbles are a common market reaction to major project news, and the -5% drop also comes as an expected technical development in chart structure due to LINK hitting the upper trendline of it's well-established 16-month trading channel.
The upside move came following a dramatic golden-cross of the 20DMA and 200DMA on September 29.
Both moving average levels have provided strong support to LINK price action - with the 200DMA forming a launchpad for the push up to upper trendline resistance, and the ascendant 20DMA providing trajectory and under-footing to September price action.
However, with the $8.50 price level unbroken since April, it comes as little surprise that LINK price has shifted into retracement
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