Popular crypto strategist and trader Benjamin Cowen is looking at the state of Chainlink (LINK) to see whether the decentralized oracle network is ready to ignite its uptrend.
In a new strategy session, Cowen tells his 685,000 YouTube subscribers that Chainlink is the “light” when the crypto markets are bearish.
According to Cowen, Chainlink’s performance is inversely correlated to the price action of Bitcoin (BTC).
“One of the things that we asked ourselves back in 2019 and 2020 was that we know LINK does well when Bitcoin is bearish and when Bitcoin is going sideways. But we do not know what LINK will do when Bitcoin is bullish. We now have the question answered. If we didn’t know before, all questions are put aside now. If Bitcoin is bullish, LINK/Bitcoin is most likely going to bleed.”
Cowen also says that with Bitcoin pulling back over 40% from its all-time high around $69,000, Chainlink is now in a position to start its bull cycle against the leading cryptocurrency (LINK/BTC).
“You can see that we actually have broken out (LINK/BTC). We have broken out to the upside. If we look at it on a log scale, that’s what it looks like… So even if you looked at the market like that, you could argue that we’ve still broken out even on a log scale. Now, of course, we would like to see weekly closes. We don’t want it to just be a wick.”
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Featured Image: Shutterstock/Tithi Luadthong