- Chainlink has been caught in the throes of an intense bull run throughout the past few weeks
- The cryptocurrency has been significantly outperforming the aggregated market and has now secured its spot as the sixth-largest digital asset by market capitalization
- Analysts are now observing that LINK trading volume on Coinbase is far outpacing that of Bitcoin
- This points to growing interest from traders to gain exposure to the token
- As for where it may go next, analysts are setting their sights on $20
Chainlink has seen unprecedented gains throughout the past few years, bucking the market-wide bear trend and incurring multiple parabolic cycles.
This strong momentum has extended into 2020, with LINK climbing through the ranks and now becoming the sixth largest crypto by market cap.
Just yesterday, the cryptocurrency was able to rally up to highs of nearly $14 on most trading platforms before it faced a massive influx of selling pressure that caused it to retrace slightly.
This momentum has drawn the attention of virtually all crypto investors, with LINK trading volume now outpacing that of Bitcoin on Coinbase.
Analysts are now setting their sights on even further upside for the token.
Chainlink Posts Strong Price Action as Analysts Eye Move to $20.00
At the time of writing, Chainlink is trading up just over 2% at its current price of $13.00.
This is around the price level at which the cryptocurrency has been consolidating following its surge to over $14.00 seen yesterday.
After facing a rejection here, LINK declined down to lows of $12.50 before finding some strong support that halted its descent.
As for where it might trend next, one analyst who forecasted the move to $14.00 is now looking towards $20.00 as a new “logical target” that Chainlink may soon reach.
“Next logical target $20,” he concisely stated while pointing to the below chart.
Image Courtesy of Galaxy. Chart via TradingView.
The chart he references also shows that this latest parabolic movement appears to have come about as a result of a recent descending trendline break.
LINK Flips Bitcoin Trading Volume on Coinbase
One interesting result of this recent volatility has been a surge in Chainlink trading volume.
As one analyst observed, LINK trading volume on Coinbase is now higher than that of Bitcoin on the exchange.
“LINK volume has now flipped BTC volume on Coinbase ($145m vs $95m) and is almost at par with BTC volume on binance.”
Image Courtesy of Hsaka.
This trend is a sign that investors are growing less interested in trading Bitcoin, and more interested in allocating capital towards highly bullish altcoins that are likely to outperform BTC in the near-term.
Featured image from Unsplash. Charts and pricing data via TradingView.