- Chainlink is the most dominant player in the platform blockchain market.
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Chainlink is interlinked with all major platform blockchains as it’s needed for smart contracts to execute correctly.
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Chainlink is currently in a breakout after consolidating for weeks.
On the weekly charts, the market continues trading in a consolidation pattern, which makes now a perfect time to accumulate high-potential cryptocurrencies. With fundamentals increasingly taking center stage in the crypto market, there is a pretty high chance that fundamentally strong cryptos could outperform the market long term.
For this reason, Chainlink (LINK) easily stands out as one of the cryptos that are worth accumulating at current prices. One factor that makes LINK strong is its dominance in the oracles market. Chainlink commands over 65% of the decentralized oracles market compared to all its competitors. Essentially, it has a chokehold on this market and is unlikely to be dethroned, just like Bitcoin is unlikely to be displaced as the number one crypto.
However, it is not just about being number one in its niche, but also that Chainlink’s core market is essential. Decentralized oracles are at the center of all smart contracts. Without them, it would be impossible for smart contracts to run. For this reason, Chainlink is intertwined with all the major platform blockchains ranging from Ethereum to Solana.
Given that smart contracts are increasingly becoming the backbone of the crypto market and pretty soon the entire world economy, the use case for decentralized oracles like Chainlink will only get stronger. By extension, this means higher demand for LINK, which will reflect in its long-term price.
LINK is in a breakout; can it sustain momentum?
Source: TradingView
After trading in a range between $12.68 and $13.38, LINK is currently in a breakout, following a similar price action in the broader market. If Bitcoin can hold above $40k and buying volumes increase, LINK could easily test $20 in the short term.
Summary
Chainlink is one of the strongest cryptos in the market when you consider fundamentals the primary analysis metric. It has more than 65% of the decentralized oracles market and is needed for smart contracts to run as required. With the broader market showing some upside momentum, LINK has broken out of a multi-week range and high volumes.