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LINK Recovers 8% As Staking v0.2 Goes Live — New Yearly High Ahead?

Last Updated November 29, 2023 4:05 PM
Nikola Lazic
Last Updated November 29, 2023 4:05 PM

Key Takeaways

  • Chainlink Staking v0.2 launched yesterday, November 28.
  • LINK price is up by 8% on the news.
  • Chart analysis indicates indecision but new highs eventually.

Chainlink, a decentralized computing protocol, has introduced an upgrade to its staking mechanism with the launch of Chainlink Staking v0.2 yesterday, November 28. This update expands the staking pool size to 45 million LINK tokens, about 8% of the current circulating supply. 

This expansion is part of Chainlink’s Economics 2.0 plan, which aims to enhance network security and accommodate a broader range of LINK token holders.

Chainlink, known as the most widely used oracle network in crypto, originally launched staking in December last year, focused initially on securing the Ethereum ETH/USD price feed with a cap of 25 million LINK tokens.

LINK’s price spiked by 8% yesterday, from a low of $13.80 to $15. Will it continue rising further? 

LINK Price Analysis 

The price of LINK made its yearly high of $16.60 on November 11, after which it decreased by 22% to $12.80 on November 17. It moved sideways, reaching $15.40 on its highs and making slightly higher lows. 

Still on a lower high
In a sideways range

As we’ve most likely seen the start of the larger descending move, this sideways move could be its mid structure, with today’s high being a lower one, proving an early indication of it. 

The RSI is at 53% and matches the indecision seen on the price chart. There is an equal possibility of further upside movement than it is another downfall. 

Zooming onto the 4-hour chart, we can see that the consolation from its yearly high is its wave 4 out of the higher degree five-wave impulse to the upside. Judging by the wave structure, we could see another decrease to the $12.40 area before the price could continue to another high for wave 5. 

In a larger uptrend
Lower low to $12 looks likely

But on the other hand, this slightly ascending triangle might end with a breakout to the upside on the current rise. 

This is why the breakout direction from the triangle will provide a conclusive indication of further price movement. If we see a breakout to the upside, the price will likely be $18, but if it breaks support, another low to $12 would look more likely. 

However, despite seeing this $12 low, the price would be expected to continue rising again to $18 at its final target. 

Disclaimer

Please note that the contents of this article are not financial or investing advice. The information provided in this article is the author’s opinion only and should not be considered as offering trading or investing recommendations. We do not make any warranties about the completeness, reliability and accuracy of this information. The cryptocurrency market suffers from high volatility and occasional arbitrary movements. Any investor, trader, or regular crypto users should research multiple viewpoints and be familiar with all local regulations before committing to an investment.

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