Chainlink is approaching critical support as data show that the number of “Hodler” is decreasing
Chainlink (LINK) shocked investors throughout the year 2019 and beginning 2020 because the cryptocurrency is an unbroken upward trend which enabled him to book several parabolic cycles.
The sale of the crypto market in the year 2020 however, seems to have done significant damage to its market structure as a prominent analyst explains that LINK is currently approaching a critical level of support that is its last line of defense against a massive sell-off.
This is due to the fact that the percentage of long-term LINK owners is steadily decreasing.
Chainlink experiences brutal sell-off and breaks important support regions
At the time of writing, Chainlink is trading in 2, 23 dollar, which is a slight decrease from the daily highs of just over 2, 30) means dollar. In the short term, LINK was able to support $ 2, 00, which was eagerly defended by the bulls last week.
With a view to the BTC-LINK trading couple, Chainlink is, with one exception, among all important support levels that are in the first seven weeks of the year 2020 were set, slumped. This last support is around 0, 000318.
Teddy – a popular cryptanalyst – spoke about this important support in a recent tweet, saying that an upward reaction there could help boost the cryptocurrency, but also that breaking below that support could be bad .
“Chainlink: Support (1) Brutally broken. Support (2) Brutally broken and rejected when tested again. Support (3) On the way. If we get a good response, we will build position there. ”
Do LINK's long-term investors start jumping into the cold water?
Recent data from IntoTheBlock show an interesting trend when it comes to Chainlink's investor base, as the percentage of long-term owners declines as the percentage of medium-term investors begins to grow.
# LINK currently have 111. 8k addresses with a balance in $ LINK
Of those addresses with a balance
▪️ 18. 37% or 20. 5k addresses are holding 1y with 672 m LINK
▪️ 63 .5% or 71. 02 k addresses are holding between 1 – 12 M with 179. 9m LINK
▪️ 18% or 20. 22 k addresses hold <1M with 44 m LINK pic.twitter.com/D2GFLRsguk
– intotheblock (@intotheblock) March 24, 2020
Proof of text: cryptoslate
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