Key Takeaways:
- Chainlink’s partnership with SWIFT has helped create hype for its token during the ongoing Sibos event.
- LINK price rallied 15.3% WTD.
- The token has formed a bullish technical setup.
NEW DELHI (CoinChapter.com) — Chainlink’s (LINK) involvement with the Society for Worldwide Interbank Financial Telecommunications (SWIFT) blockchain interoperability experiment helped propel the price of its native token, LINK.
During the ongoing Sibos 2023 event, an ‘annual conference, exhibition, and networking event organized by SWIFT for the financial industry,’ Chainlink grabbed a lot of attention.
The blockchain oracle network shared a video in which SWIFT’s head of securities strategy, Jonathan Ehrenfeld, shared his thoughts on Chainlink’s progress.
The last time we had Sibos[in Toronto], I saw Sergei [Nazarov] walking alone in the corridors looking for banks to understand what he was trying to build for the financial industry. Now, for me, it is impressive to see that they [Chainlink} have a booth, speakers, and a rooftop full of people. I think what you are building is great!
Jonathan Ehrenfeld said
In June 2023, SWIFT partnered with Chainlink to leverage the platform’s Cross-Chain Interoperability Protocol (CCIP) to experiment with how the global cooperative would transfer tokenized value between existing systems and public/private DLT platforms.
Specifically, SWIFT used Chainlink as an “enterprise abstraction layer to connect the Swift network to the Ethereum Sepolia network securely.”
In Aug. 2023, SWIFT announced that its experiments involving Chainlink and CCIP were successful. The global communication cooperative stated the experiments demonstrated that “ single point of access to multiple networks using existing, secure infrastructure.”
Chainlink’s participation at Sibos, along with co-founder Sergei Nazarov’s statements, have helped generate increased hype for the underlying token, LINK.
Chainlink Price Moving Inside Bullish Pattern
Meanwhile, the Chainlink token’s price has formed a bullish technical pattern called the ‘Falling wedge.’
The technical pattern forms when the price fluctuates inside a pair of falling trendlines that converge down the slope. The outcome of such downside patterns is typically a price breakout to the upside. One key feature of the pattern is that volumes usually decline as the trendlines converge.
The upside target for the breakout is equal to the maximum distance between the falling wedge’s upper and lower trendlines. Thus, confirming the pattern could theoretically see LINK price rally over 99% to reach the calculated price target of $13.58.
LINK Price Rally Stalls After 15.3% WTD Gains
LINK price dropped nearly 3% on Sept 21 to reach a daily low near $6.73 after the token’s Sibos-fueled rally started crabbing on Sept 20. Currently, LINK bulls are struggling to keep the Chainlink token’s price above the 200-day EMA (green wave) dynamic support level.
Should the bearish pressure increase, LINK price could drop to the support level near $6.27, which previously supported the token’s price action between Jan. and May 2023.
Moreover, failure of the immediate support level could force the Chainlink token price to test the support near $5.65 before recovering.
Conversely, if the bulls restart the token’s price rally, LINK price could rally to the resistance near $7.24. Furthermore, breaking and consolidating above the immediate resistance might help LINK price target the resistance near $7.93 before retreating.
LINK price has failed to hold above the $7.93 resistance for more than a week since Aug. 2022, making it a key resistance level for the bulls.
The RSI for LINK remained neutral, with a score of 59.66 on the daily charts.
