Santiment has ranked Chainlink (LINK) as the DeFi protocol with the highest development activity in the past month.
The cryptocurrency is trading at $18.80, eyeing the 20-day EMA at the $21.03 price tag.
The RSI reads below 40 which means that the bears are currently in control and chances of LINK entering oversold levels are high.
While the crypto market lacks excitement when it comes to prices, a major development is taking place behind the curtain in the decentralized finance (DeFi) sector. Chainlink (LINK), a blockchain oracle protocol, dominates the list of top DeFi protocols by development activity. Meanwhile, DeepBook Protocol and DeFiChain have shown remarkable growth in their rankings as well.
As per the posted by blockchain analysis platform Santiment on X (formerly Twitter), Synthetix dropped to fourth in the rankings in the last 30 days, while DeepBook Protocol and DeFiChain have climbed up the ranks, securing the second and third positions, respectively.
Photo: Santiment
Coinbase’s CBBTC secured the fifth spot, while Liquity and its stablecoin counterpart, Liquity USD, are making strides in the space, claiming the sixth and the seventh spots, respectively. Lido DAO continues to dominate the Ethereum staking sector, ranked eighth, while Injective dropped to the ninth spot. Also, as one of the leading decentralized exchanges, Uniswap rounded out the list, claiming the 10th rank.
Investors have remained bullish on Chainlink, with some market participants the cryptocurrency the backbone of the DeFi sector. Crypto investors also highlight the major partnerships gained by Chainlink, including the of the DLT at the base infrastructure level of the SWIFT network.
Chainlink (LINK) Price Analysis
is trading at a price of $18.80, up 0.36% in the past day. The altcoin has dropped 7.78% in the past week and is trading at a discount of 64.74% to its all-time high of $52.88 witnessed in May 2021. Meanwhile, the daily chart provided by TradingView below indicates that the nearest support zone for Chainlink lies around $16-$17, where buyers previously stepped in. A breakdown below this could lead to further downside.
Photo: TradingView
The 20-day Exponential Moving Average at $21.03 is the immediate resistance, followed by $24.00. While LINK is still in a short-term bearish phase, investors could see a relief rally if it breaks above $21.03. On the other hand, the Relative Strength Index (RSI) reads a value of 37.96, indicating that LINK is in the lower range of momentum but not yet oversold. A test of the oversold levels could lead to a potential bounce.
Finally, the MACD indicator confirms that the bears are in control, with the MACD line (blue) below the signal line (red). This suggests that bearish pressure is still present, although the histogram is showing signs of flattening, which could indicate a slowdown in selling momentum.