Good day steemians, it feels good to participate again in the week 3 of this trading contest. Today I will be discussing on the crypto pair LINK/USDT.
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Chainlink is a decentralized blockchain technology innovation that aims at providing real-world data to smart contracts. This means that it connects blockchain platform with non-blockchain enterprises using a decentralized oracle. This oracle is the 'middleware' machines that works as the intermediary, it is responsible for the translation of data from the real world to the blockchain's secured smart contract. This project started in 2014, it was founded by three men namely Steve Ellis, Ari Juels and Sergey Nazarov who also published the project whitepaper that outlined the project vision for having a decentralized oracle network. However, it should be noted that the chainlink blockchain uses the proof of work consensus mechanism and it is hosted on the Ethereum platform. Also, there is transparency in the chainlink network since it uses an open-source blockchain where anyone can view the project's code and similarly contribute.
The native token of this project is known as LINK which has a total supply of 1 billion tokens. However, during the ICO that took place in 2017, 35% of the token were sold off and about 55% of the token were held by the founding company. Users can use the LINK token to interact with the chainlink network. Now let's take a look at the LINK token statistics on the coinmarketcap.
As we can see above, the LINK token is currently worth $15.67, it is ranked number 23 on the coinmarketcap and it has a market cap of $7,318,368,164 with a trading volume of $628,962,791 and a circulating supply of 467,009,549.52 LINK.
No doubt, chainlink is a very good investment and coupled with the heavyweight partnerships in recent times, a robust treasury of funds reserve and the high demand of chainlink services, chainlink has shown to be a solid project, one that seems to be ready to make a name for itself in the crypto ecosystem. Also in recent times, chainlink price have shown stability and is poised to keep climbing up in value. Not forgetting to mention that the price of the LINK token has risen by over 1000% over the last year with a strong market cap which is around $7billion. This token is in high demand and the fundamentals of this token look healthy enough for nany crypto experts and analysts. It is believed that LINK could rise as high as $30 before the end of 2022. I'm quite optimistic of this project and it has a lot of potentials and immense benefit to the crypto space.
In this section, I will be performing a live trade on my Binance account on the crypto pair LINK/USDT and my analysis will be carried out on the MT5 trading platform. I will be heading over to the 4hr timeframe to check the chart for analysis.
As seen on the LINK/USDT chart above, I observed that price is reversing from a resistance zone and it's already formed a strong bearish candle. Similarly, the RSI indicator is at the overbought level which means price is expected to SELL.
I proceeded to check the 30mins timeframe and I observed that the price is forming a head and shoulder pattern here which further signals SELL ENTRY.
I then proceed to the 5mins timeframe to enter a SELL POSITION and I placed my SL and TP at strategic positions using a risk to reward ratio of 1:2
This is the progress of the trade taken so far
I do not plan to hold this coin for a long time because I only took a short term trade which I closed after making some profit.
I recommend this coin to crypto investors who are looking to add to their crypto portfolio. However, let's me state some reasons why chainlink is a good choice for everyone.
It support decentralized data feed i.e this network can collect data from different sources and can secure them collectively and use them for smart contracts.
It also provides verifiable sources of randomness for cryptographically secured applications.
The chainlink smart contracts can also automate key functions for enterprises who wants to adopts the use of blockchain technology for their operations.
Another good thing about the chainlink is that, it can connect different blockchain platforms together in other to exchange tokens and other specific actions.
Chainlink (LINK) token can be bought on kraken, GEMINI, cex.io, coinbase, Kucoin, Binance etc.
Let's also take a look at the official website of the chainlink.
You can also interact with the chainlink users community by clicking on any of the social media page below.
General Features of this platform can be seen below
In this article, I have been able to discuss extensively the chainlink crypto project in relation to the project background, founders, market statistics, price projections and recommendations.
I also placed a trade on the crypto pair LINK/USDT using my Binance account, however my analysis were carried out on the MT5 trading platform using multiple timeframes.
Special thanks to the team leaders professor @kouba01 and @reminiscence01 for their support and guidance.
Hello @feyol55,
Thank you for choosing our team to participate in the 3rd week of Season 6 of our trading competition, hoping that you will make gains during this period, you deserve a Total|6/10 rating, according to the following scale:
My Review on your choice of pair:
My Review on your trading style:
We thank you again for your effort and we look forward to reading your next article.
Sincerely, @kouba01
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