Chainlink has the entire cryptocurrency standing at attention and taking note as the asset enters price discovery mode and sets new high after high.
Along the way, the superstar altcoin has stolen the limelight from Bitcoin, dominating most top cryptocurrency exchanges in trading volume.
Chainlink Goes Parabolic, Price Discovery Mode Sets New ATH Each Day
Chainlink was the top-performing cryptocurrency the last two years running, but it is 2020 where the asset has shined the brightest yet.
The altcoin’s year-to-date performance nears 400% thus far, and we’re barely halfway through the year at this point.
Related Reading | Small Cap Altcoins Have Outperformed Bitcoin By 5x in 2020
After setting a new all-time high recently, the crypto asset has entered price discovery mode and each new passing day breaks the previous day’s record.
Not even highly accurate sell signals across the altcoin have not been able to slow Chainlink’s parabolic rally.
Along with surging prices, the altcoin is also dominating most top cryptocurrency exchanges at the moment. Chainlink is even beating Bitcoin in daily trading volume, showing how strong the interest is in the asset.
LINKUSD Trading Volume Beats Bitcoin And Others On Top Crypto Exchanges
Cryptocurrencies are speculative assets driven by hype and promise. The more hyped a coin, the more successfully it performs.
This is exactly how things were during the crypto bubble before it had burst. But the resulting drawdown kept sentiment in the gutter. Chainlink, however, arrived after the bubble popped, and never experienced the negativity the rest of the space did.
It’s kept Chainlink climbing to the top of the crypto market top 100 over the course of the last two years. The altcoin has now entered the top ten cryptocurrencies by market cap, unseating both Litecoin and Binance Coin.
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There’s no arguing just how powerful hype can act sending an asset parabolic, but this showing by Chainlink is shocking even for the cryptocurrency market.
As a result of the positive buzz and outrageous returns surrounding the asset, LINKUSD trading volume is now dominating Bitcoin at the popular cryptocurrency exchange Coinbase.
Chainlink normally accounts for just 5% of Bitcoin’s trading volume on the platform but has since overtaken the number one cryptocurrency.
— Tyler Winklevoss (@tylerwinklevoss) July 13, 2020
On another US-based cryptocurrency exchange, Gemini, LINKUSD represented 15% of the platform’s entire daily trading volume.
Volume proceeds price, as the saying goes, and volume is only rising. Although the asset has already performed so well, the incredible hype and growing volume could propel prices even higher in the weeks ahead.
When a cryptocurrency or any asset enters price discovery mode, there’s no horizontal resistance to deal with, only psychological levels and potentially fib extensions. This means that new records can be set, and the asset theoretically has no cap on how high it can go.
It’s this reason that is also driving the massive interest behind the altcoin.