Most popular crypto coins keep trading lower today. However, the declines were marginal. Seven top ten cryptocurrencies drop by about 2% at 0930 IST. Over the past 24 hours, the crypto market remains tepid.
Digital coins, including Bitcoin, have been experiencing downtrends, declining by 50% since reaching their highest peaks in April. Stiffer regulations by China and BTC criticism by Elon Musk saw the crypto market tumbling over the past weeks.
Mudrex Co-founder and CEO Edu Patel said that the crypto market witnessed typical high volatility over the last day, most cryptocurrencies falling by over 10% at some time during the 24 hours.
During this week’s BTC drop, attentive chart analysts noticed that the leading crypto asset is heading towards a bearish pattern referred to as a Death Cross. The BTC price sank its average price in the past 50 days towards the 200-DMA.
Found in 2017, Chainlink serves as a blockchain abstraction for globally linked smart contracts. It utilizes a decentralized oracle system, allowing Blockchains to interact securely with events, payment methods, and data feeds. That provides the data needed by complex smart contracts to establish dominant virtual agreements.
After the $15 drop, Chainlink saw a sharp rally, surging to a $35.4, 135% uptick. However, the virtual coin failed to maintain the momentum, thus retracing from these zones. Technically, Chainlink has a decreasing trend, making the ‘Lower Bottom Lower Top’ pattern.
However, the asset tries to find support around $21 zones as the candle had a lengthier lesser shadow showing purchases at these zones. You can expect recovery if the coin can maintain the support area. Also, a further decline is possible, taking the assets to the support area around $19.5.
Should You Invest in Crypto For Now?
Well, if you want to buy the dip, the only thing to consider is the associated risks. As much as it is challenging to forecast where the market will be in the future, digital coins are highly volatile now. Keep in mind that the market has never recovered after dropping drastically from the highest values. Consult your financial advisor before you invest at the moment.