Hi guys i am back again, those who are new to my blog you are welcome. Today my articles are more of crypto and token analysis so that we can see what was happening what is likely to happen.
From the start of this year on 1 January 2021 Chainlink has been performing well. It managed to rise from $12 per coin and it hit its all time high of $52 per coin.
On 10 may it fell hard and it broke the support level at $31 then went further down and tested $20.It later bounced back and tested $36 and it was stopped by that black trend line which acted as the resistance zone.
Then for the past 5days it was hoovering around $31, but with the high strength on the resistance and the trend line today it went down and i guess it can be preparing for another sell, its market capitalization is down with 8.73 and the whole of crypto market is down with 4.60%.
If you take a look at the above Polkadot price chart you can clearly see that it has the same setup with chainlink. It broke the support at $28.300 then later retraced and tested the same level which was now the resistance level but it did not go far as it was stopped by the trend line which acted as the resistance level.
It has to fall again and first create a lower low and lower high, maybe that is when it will break the resistance levels at $28. For now its not wise to buy, We just have to wait and look for buy opportunities and after we are sure that the corrections are done and dusted it will be safe to enter