At the time of writing, Chainlink is trading down marginally at its current price of $11.00, which is around where it has been trading throughout the past few days.
LINK’s ongoing consolidation phase has come about primarily due to that seen by Bitcoin, as the benchmark crypto has been trading between $11,400 and $11,600 for the past few days.
Until Bitcoin gains some clear directionality, the entire altcoin market – including Chainlink – will likely continue consolidating.
This is one of the few times where LINK has seen a correlation to BTC that is this strong, as it typically incurs both uptrends and downtrends independent of the aggregated market.
This trend may soon come to an end, and it may begin moving in tandem with the rest of the market – for better and worse.
Analyst: LINK Enters Possible Accumulation Phase as Sideways Trading Persists
While speaking about where he thinks Chainlink may trend next, one analyst explained that this consolidation phase could mark accumulation, which would suggest that a move higher is imminent.
“LINK… Still the same view on this one. Expecting a further accumulation period on this one too, just the same as the previous impulse wave. Clear resistances at $12.35-12.50 and $13.75-14.00. Long areas at $10 and $8.75-9.00,” he said.