- Chainlink (LINK) has reversed from the recent top.
- Bitfinex whale says the sell-off is imminent and calls LINK a shitcoins.
- The technical picture implies that the coin is at the beginning of a major sell-off.
Chainlink (LINK) topped at $8.8999 on Wednesday, July 15, and reversed to the downside. At the time of writing, the coin is changing hands at $8.1327, down nearly 4.5% since the start of the day. Despite the retreat, LINK is still 2% higher from this time on Wednesday; however, the bearish momentum is gaining traction, which means LINK is at risk to extend the decline later during the day.
Bifinex whale has a bad feeling about LINK
Chainlink experienced a strong rally in recent days, however, this bubble is about to burst, one of the largest cryptocurrency traders on Bitfinex warns. A whale, known as Joe007, says that LINK is still a “shitcoin,” no matter how high and fast it grows.
“Each instance of shitcoin FOMO creates concentrated riches for its few peddlers and widespread losses for a new generation of shitcoin bagholders,” he said in a response to a Twitter thread on LINKUSD.
His comments stirred a wave of angry comments within the community; however, Joe007 is famous for his contradictory stance on many subjects.
LINK/USD: Technical picture
On the intraday charts, LINK’s price is still moving within an upside trend with the local support created by an upward-looking 1-hour SMA50 at $8.00. A sustainable move below this area will worsen the short-term technical picture and bring 1-hour SMA100 at $7.60 into focus. This area may slow down the correction; however, if it is broken, the sell-off may extend to $7.00 and $5.80 ( the middle line of the daily Bollinger Band). A move towards this area will reverse most of the recent gains and trigger more panic selling.
Considering the downward-looking RSI on a daily chart, the bearish scenario looks likely at this stage, which means the LINK’s FOMO is about to morph into FUD.
LINK/USD 1-hour chart
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