Excluding U.S dollar-tied USDC, all asses traded sharply lower early today. Avalanche lost another 11%, followed by Solana’s 9% slump. Cardano and Polkadot surrendered 8% each.
Cryptocurrencies saw a bloodbath as they experienced the meltdown heat from the financial markets, recording sharp declines on Thursday’s early sessions. Bitcoin witnessed minor plunges while most altcoins encountered massive sell-offs.
Digital coins have seen escalated downtrends since the LUNA debacle, which had investors losing $40 billion of their wealth. Riskier assets remain pressured due to surging inflation and slowed economic growth concerns.
Excluding the U.S dollar-tied USDC, all assets in the crypto cart noted declines. Avalanche declined by another 11%, and Solana followed with a 9% slump. Cardano and Polkadot dropped 8% each. Such actions saw the global cryptocurrency market capitalization losing over 4% in 24 hours to $1.24 trillion. On the other side, the total crypto trading volume saw an over 6% surge to $82.36B.
Though retain investor sentiment maintained a cautious stance, CoinDCX Team believes institutional confidence is still strong. It added that the crypto sector sees funding despite the current uncertainty within the marketplace. For instance, 21Shares launched two cryptocurrency funds amid ongoing turmoil in space.
Giottus’ Tech View
The current bear regime has most alt taking a beating. Chainlink isn’t an exception, having dropped from its November local peak of $40 to this month’s low of $6. Nevertheless, LINK has all it takes for swift rebounds and to erase its losses, given its fundamental value.
Chainlink is a decentralized oracle, using LINK as its native token. The altcoin ensures communication between smart contracts within the blockchain network, guaranteeing actual, real-time data transfer to the blockchain. Today’s sessions have LINK trading near $15.
So far, the LINK market structure is yet to see a breakout on higher timeframes. Though the toke ceased from printing lower lows, it’s yet to record a higher hit and suggest a sentiment shift. Moreover, rejections from the .236 retracement mark of its fall add credence to the bearish picture, indicating possible opportunities to purchase LINK at discounted prices again. The alt might discover reliable local support near the $6.5 mark. Nevertheless, losing this area would mean a dip to $5 or lower to $4.