Chainlink’s price has been bearing witness to some immense volatility throughout the past few days and weeks, with buyers propelling it towards $14.00 yesterday while the entire DeFi sector saw some explosive momentum.
However, the token is now facing some intense selling pressure, with the entire crypto market starting to turn lower as buyers struggle to maintain the momentum seen throughout the past couple of days.
This market-wide downturn comes as Bitcoin breaks below $15,000, which has far-reaching implications for the aggregated market.
ETH is also trending lower, losing its $450 support level and declining towards $430. It is important to note that both Ethereum and most DeFi blue chips are still trading well-above their recent lows.
YFI, for instance, rallied from lows of $7,500 to highs of $18,000 before losing its momentum and declining all the way down to $12,000 – where it is currently trading at.
This market-wide downturn has struck a blow to LINK’s ascent, but the token could still be well-positioned to see a strong rebound when the market conditions shift back into buyers’ favor.
One analyst is pointing to Chainlink’s high funding rates as one reason why it may see a sustained pullback in the short-term.
Chainlink Reels Following Massive Multi-Day Uptrend
At the time of writing, Chainlink is trading down over 2% at its current price of $11.80. This is around the price at which it has been trading throughout the