- Only 24.96% of LINK holders are in the black following the latest decline, with 74.74% facing losses.
- There is a possibility that intraday traders are over-leveraged with $13, on the lower end, and $14.82 at the higher side.
After a price reduction of 12%, Chainlink’s native token lost a crucial support level at $14.85. At $14.85, this was the level where 73.5 Million LINK Tokens were accumulated by 17,000 investors.
They have now turned red according to IntoTheBlock’s on-chain analytical firm.
75% LINK Investors see the Red
LINK, after losing the $14.85 level on its charts, has paved a way for a new price drop. As of press time, LINK was trading around $13.80. It had fallen by 12% over the last 24-hours.
However, during the same period, its trading volume dropped by 15% – A sign of lower participation from investors and traders compared to the previous day.
LINK owners are only in the black now, thanks to the updates mentioned above. Contrary to this, the number of investors who are in loss has increased from 74.74%.
Source: IntoTheBlock
Price action of Chainlink (LINK), and its key levels
AMBCrypto’s technical analysis suggests that LINK could be set for further downward momentum following its break out from its three-day long consolidation between $15.85 to $14.85.
According to its price history and recent patterns, the likelihood of the asset dropping another 10% in the future is high if it closes the daily candle under the $13.80-mark.
TradingView
The price of this product has been reduced steadily. LINK The 200-EMA may not be able to rise above it on a daily basis. It may indicate that an asset is in a decline.
The 200 EMA, a technical tool used to identify whether a particular asset is in an uptrend is worth noting.
Bearishness of intraday traders
It is clear that the majority of intraday traders are betting short on altcoins. The number of traders is also increasing, especially because more people believe that the price will not rise or recover quickly.
Coinglass reports that at $13.82, traders with short positions who have already built positions worth $10.16million are considered to be over-leveraged. Traders who are betting on long-term positions may be also exhausted. Over-leveraging is at $13, which means they only have $4.26 millions worth of positions.
Coinglass
The over-leveraged market positions are a true reflection of the current sentiment. Short traders may be able to push the price down as low as $13 by selling their long positions.
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Source: ambcrypto.com
