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Cryptocurrency prices have slid across the board today, but the market always holds surprises. One leading altcoin in particular has managed to avoid the crash unscathed.

ChainLink (LINK) not only remained one of the few assets in the green, but actually continued on a small hike as other assets still sank lower. LINK is still down more than 9% on a weekly basis, but the loss is also narrower in comparison to the corrections in most other leading altcoins.

As Bitcoin (BTC) continued to tumble below $8,700, altcoins decreased across the board too. But LINK has a tradition of defying markets, staging significant short-term gains based on highly active trading. LINK also rises on rumors of partnerships and increased usage of the ChainLink oracles.

The latest news that triggered a price hike was related to a potential partnership of ChainLink and Tezos (XTZ).

In the short term, this led LINK prices to $3.97, and above 45,000 Satoshi. LINK trading is also near peak levels, above $450 million in 24 hours. LINK prices also get a boost from a highly active community, expecting an even higher valuation. The asset also gains momentum based on its propensity to go against the market. LINK gained more attention this Friday as it counteracted the falling trend.

The Chainlink project has additionally expanded its influence by providing oracle services for multiple protocols. The Polkadot protocol has recently announced a partnership with Chainlink, which is emerging as the leading oracle service for Ethereum-based protocols.

LINK is still far from its peak at around $4.80, but has shown its capabilities to recover closer to the top of the range. For now, LINK is the sole gainer, even displacing the XTZ rally. LINK allows both short-term trading, and long-term hodling behavior in expectation of higher prices.

LINK is also highly liquid, based on the liquidity market cap measure by Messari. While LINK is one of the few altcoins with a $1.3 billion market cap, its liquid market cap is reported at $3.9 billion. LINK is also one of the few assets having a highly active derivative market on Binance.

This also explains the very high reported liquidity of LINK trading, which surpasses other altcoins. Adjusted trading volumes are around $145 million per day. The most recent LINK rally is thus the product of a derivative market, as well as a strong community holding onto physical coins.

What do you think about the LINK price rally? Share your thoughts in the comments section below!

Images via Shutterstock, Twitter @FuturesTracker @JohnCioffoletti @Chainlink_Alert

Original post:
This Top Altcoin is the Only Survivor of Today's Red Market - Bitcoinist

Ethereum (ETH) and other altcoins are at a higher risk now that the stock market has seen massive decline in the past two days. Investment in cryptocurrencies continue to be risky and as investors become more risk averse, the altcoin market is expected to see a massive capital flight in the weeks and months ahead. The coronavirus situation is not just a one-time event like a political event, for instance an attack on oil fields in Saudi Arabia or the killing of Qassem Soleimani. This is different as it is a growing development that worsens by the day.

Wall Street is concerned for all the right reasons and people in the crypto community that pretend to live in an alternative wonderland will soon feel the gravity of the situation as the big players pull out their investments. ETH/USD has faield so far to break past the support turned resistance at $223. As long as it remains below the 61.8% fib level, the probability of a decline down to the 38.2% fib level remains very high. This would pull the price of Ethereum (ETH) below the psychological support of $200 which would seriously impact the bullish resolve.

The altcoin market risks significant further downside now that we have seen Altcoin dominance (Others.D) break below the 200-moving average on the 12H time frame. This is a big deal as it means that the uptrend that started in August, 2019 in the altcoin market is now likely coming to an end. This could trigger a major sell-off in the near future as the big players realize that the show is over. Retail traders will continue to try and catch the knives as they buy the dips when their favorite altcoins crash only to realize that they keep on falling further.

Ethereum (ETH) and the rest of the altcoin market is still quite overvalued at current prices. The market cap of a lot of cryptocurrency projects makes no sense. This would be the first time that we would see a major correction in the altcoin market. We have seen bear markets in Bitcoin (BTC) before but this would be the first time it happens for a lot of altcoins and ICO projects. The projects that have the best products and dedicated teams would survive but a large number of useless tokens would be wiped off the market. This is a good development considering it will cleanse the market and prepare it for investors with stronger hands and long-term interests to enter the market and grow this industry.

Read more from the original source:
Ethereum (ETH) And Other Altcoins Risk Massive Capital Flight - Crypto Daily

The stock market has seen a major crashfollowing the coronavirus outbreak, causing many to believe that the virusmight be responsible. As the virus continues to spread around the world, thefear of its potential impact is believed to be the main cause of a stock marketdecline, with one of the sharpest ones in history being that of the S&P500.

In fact, many have taken to comparing its crash to that of illiquid altcoins in the crypto industry.

As mentioned, the virus is continuing tospread, and the death toll is rising higher and higher. The development hascaused quite a bit of panic, which is already disrupting the global economy.Manufacturing facilities are shutting down, traveling to the parts of the worldconsidered to be hotspots for infection are severely limited, and the healthofficials are struggling to contain the outbreak.

The financial markets seem to be suffering the consequences as well, with some of the largest companies seeing a drop of nearly 300 points in the US in the past month. The drop has been the sharpest over the past week, causing the stock index to look like a price chart of an illiquid altcoin, specifically an IEO token called Matic.

The token became quite notorious several months back when it went through a major pump-and-dump. Comparing its chart to that of the S&P 500, there are several similarities to be seen. Since Matic crashed a while ago, its performance shows the future of the S&P 500, should the similarities continue.

Another large US stock index, the Dow JonesIndustrial Average, recently triggered a TD 9 buy signal on daily timeframes,and others seem to be ready to follow, including the S&P 500, as well asApple.

Numerous analysts believe that the sharp dropis going to cause and even sharper rebound, with a surprising strength once theperiod of panic passes by. However, this can only take place if the coronavirusoutbreak gets better contained in days to come.

Excerpt from:
S&P 500's decline makes it chart look like that of illiquid altcoins - iNVEZZ