- Chainlink coin price levels tumbled on Thursday’s market session after fear of SEC lawsuit rumours surrounding and claimed by Zeus Capital
- Zeus Capital raised a set of queries regarding Chainlink’s numerous partnerships and its practices.
- The price levels went down by -20.00% resulting in the testing of critical support area of $9.60
Zeus Capital Assertive for an upcoming SEC lawsuit on Chainlink
Zeus Capital, an asset management firm, claimed on 23rd December 2020 that the firm believes SEC will also go after Chainlink in their report and its founder just after its ongoing lawsuit against Ripple. The firm believes that XRP has always been security since day one and it’s time for other centralized tokens which involves millions of dollars of the transaction and termed them as “Useless Tokens”. It also targeted both the founders and CEO of Ripple and Chainlink by remarking that both the crypto assets have carried out unregistered securities offering in the open crypto market.
Chainlink Coin Price Touched Ground Levels Surrounding by Negative Rumours
On the intraday chart, Chainlink coin price faced a sharp negative divergence after a negative breakout below the crucial mark of $12.00 on Thursday’s market session. As soon as the negative rumours surrounded the crypto asset about SEC looking to file lawsuits against Chainlink too as claimed by Zeus Capital, the price levels faced an edgeless downfall, resulting in a negative breakout below the crucial marks of $11.00 and $10.00 respectively. The CMP is placed at $10.33 after a minor positive bounceback from the critical support region of $9.50 with an overall loss of -14.06%. The market capitalization has reached $4,107,967,754 with the 24-hour volume traded of $2,267,912,157. The LINK/BTC pair is also down by -14.48%, bringing the current level down to 0.00044499 BTC.
Chainlink Technical Levels Reaches Utmost Bearish Region
The technical chart of Chainlink highlights the sharp negative divergence faced by the price levels, which resulted in the testing of 0.786fib level on the downside. A negative breakout below the fib level can be a major bearish indicator for the upcoming trading sessions. However, the price levels have bounced back positively on previous occasions and expected to do the same in the current market condition.
The relative strength index (RSI) faced a negative divergence to the oversold region and showed no signs of recovery. The current level stands at 21.78.
The moving average convergence & divergence (MACD) also faced a bearish crossover and made multiple attempts to bring back the bullish momentum in the levels but failed to do so.
The directional movement index (DMI) faced towering -DI with ADX moving well beneath it. This surely indicates that the crypto asset is facing significant selling sentiment in the current market session.
Will Bears Continue to Haunt Chainlink Coin Price?
The negative impact of fundamental news usually takes a couple of trading sessions to fade away. However, XRP is still facing downtrend and arrived at its Pre-November levels on the chart. If there’s the word of confirmation by Securities Exchange Commission regarding a lawsuit against Chainlink too, we can expect the levels to go down ranging from $8.50 to $7.80. However, if the news turns out to be just a rumour with the intention of harming the only free-market left in the world done by centralized comrades, we can expect buying momentum to kick in.
Resistance level: $14.00
Support level: $8.50 & $7.80