Mid May Update: Technicals
LINKBTC looks very good on the daily timeframe. Link managed to break the EMA200 and two resistances: horizontal at 9473 sats and ascending trendline at 10330; it is now testing the Fib 618 level and will probably take a breather here before marching further to the 12477 satoshis level and Fib 786 line.
The bullish reversal is confirmed with an increasing volume and ATR values that measures volatility. ATR is at its peak which usually occurs on bull runs, as you can see from the chart and previous Link rockets. Also, EMA50 is still above EMA200 on this timeframe, another bullish sign.
Link has completely outperformed bitcoin in the last 7 days, being up 13%. It is up 28% on USD as well.
On the other hand, Link has a weak trading volume that is also misreported and inflated by 1.9x – real volume is $10.1M and reported is $19.4 million in the last 24 hours. That is not too big of a overstatement for the crypto market, but both figures are very low considering that its neighboring coins in the market cap rankings, have at least double of its volume.
Moreover, LINK has a somewhat strong buy support, according to coinmarketbook.cc. Buy support is measuring sum of buy orders at 10% distance from the highest bid price. This way we can eliminate fake buy walls and whale manipulation and see the real interest of the market in a certain coin. LINK currently has a $381k of buy orders measured with this method, which sets LINK buy support/market cap ratio at 0.23%, a wide-market below average value. Bitcoin and Ethereum have a 0.27% and 0.28% ratios, respectively. This novel metric indicates there are a lot of manipulations, inflated liquidity and fake orders on all crypto trading pairs, including LINK pairs.