The crypto market is going through a long-term consolidation, but the position of top traders indicates that there will be a backward move at the end of a final washout.
Some altcoins like Chainlink at some point looked as they were about to take some profits, but as those signs attracted in new investors, certain other factors also hinted that they might not any high gain whatsoever.
A number of crypto strategists consider that LINK is on track to move upwards despite its underwhelming performance in the market last year. One of them explains his bullish outlook by the addition to the team of the former CEO of Google as the advisor, apart from other factors.
In December, Chainlink announced that it had recruited Eric Schmidt as an advisor to the project. Schmidt is expected to help the team expand its scope thanks to his massive wealth of experience. He served as Google’s chief executive officer from 2001 to 2011, overseeing the launch of numerous large products. In general, LINK, the native coin of the ecosystem, has been performing superiorly since the team announced Eric Schmidt’s appointment.
Later, the coin, just like other crypto assets, got blown down by the extremely bearish sentiment of the markets.
But let’s see what advantages LINK has which may help it recover sooner and start that predicted uptrend.
The key characteristic of any asset is always its ability to grow and expand the network. The good news is that Chainlink is leading on that front. The Chainlink network grew massively through 2021. Here are some of their most valuable stats: Chainlink has integrated with 1,000+ projects, and its data network secures over $75+ billion worth of value.
Recently, Chainlink’s products have spread across the crypto space as they are being deployed by DApps on every chain beyond just Ethereum and BSC.
Recently, the company’s CEO Sergey Nazarov announced that LINK token staking and the CCIP protocol would be implemented within the Chainlink network in 2022. LINK staking should increase token demand and scarcity, as it finally activates the LINK token’s underlying utility. Along with this, the cross-chain interoperability protocol will create a new way to bridge tokens and use the Chainlink network. Taking into account all these inarguable benefits, LINK seems to be a sleeping giant.
The technical chart indicates the overall trend for Chainlink tokens is still sideways. The token price was recently rejected from the $28.7 resistance, which initiated a minor pullback.
Chainlink recent price signals have been projecting a bearish trend for quite a while. The crypto traders looking for new entry opportunities should closely observe the price action at this support for reversal signs. It’s possible that a majority of today’s retail crypto investors are blinded by a too short-term time perspective to understand the real Chainlink’s price potential.