Chainlink (LINK) has announced the launch of its Functions Serverless Web3 Platform, a project that is aimed at connecting data, devices, and systems to smart contracts. The platform was developed in collaboration with AWS, Meta, and Google Cloud and has several examples of possible use cases.
Chainlink price analysis: Bears capture upside momentum
Despite the major announcement, Chainlink’s price has been consolidating above $7.0 and is currently trading at $7.30. The bulls have managed to maintain their position above the psychological level of $7.0 but have been unable to break out past resistance levels of around $8.50.
The bearish momentum has been growing over the past few days as the $7.50 resistance level continues to act as a barrier for LINK prices. The MACD indicator shows bearish divergence, signaling that LINK could be poised for a further drop in price.
Chainlink price action on the daily chart shows the cryptocurrency has formed a descending triangle pattern, indicating a potential break to the downside. If the bears manage to break past the support level at $7.0, then LINK could fall as low as $6.30 in the coming days. At the time of writing, Chainlink is trading at $7.34, down by 1.1 percent over the last 24 hours.
On the 4-hour chart analysis, LINK has formed a descending triangle pattern, indicating a potential break to the downside. The MACD indicator also shows bearish divergence and supports further price drops.
The Fibonacci retracement level of the current downward move from $9.50 to $7.20 shows that LINK has found some support near the 0.5 Fibonacci level and could be poised for a bounce in price soon if it manages to break past resistance at $7.50 or higher.
Chainlink’s price is consolidating above $7.0 despite the launch of its Functions Serverless Web3 Platform, and bears are starting to take over the market as the bulls fail to break past resistance levels. The bearish momentum is likely to continue if LINK prices fail to break past $7.50 and could result in a further drop to $6.30 in the coming days.
Looking ahead, Chainlink’s new development might be a catalyst for a future price rally, but it might take some time before the market turns bullish. LINK prices will need to break past resistance at $7.50 and higher before any sustainable growth is achieved.
