- Chainlink crypto price has been in a strong bullish trend in the past few days.
- The token is about to form a golden cross pattern on the daily chart.
- The developers will hold the SmartCon event next week.
Chainlink (LINK) price has held quite well in the past few weeks. The token jumped to $7.56 on Tuesday, the highest level since August 14th. It has soared by more than 30% from the lowest level in September.
Why is LINK soaring?
Chainlink price has jumped at a time when risks in the market are rising. As I wrote here, the biggest risk in the financial market is the Federal Reserve, which has maintained a hawkish tone recently.
The Fed decided to leave rates unchanged between 5.25% and 5.50% and hinted that it would hike by 0.25% later this year. Several officials have also pointed to the latest inflation figures to justify the hawkish tone.
The challenge is that the Fed has limited control over the key drivers for inflation. For example, it has no say about moves by OPEC+ to reduce crude oil production. Also, it has no say in the ongoing UAW strike and traffic jam at the Panama Canal.
Chainlink price has rallied because of its growing role in the finance industry. Precisely, its Cross-Chain Interoperability Protocol (CCIP) has been embraced by many companies that are building real-world solutions.
A key theme in the industry has been tokenization, which experts believe will be a multi-billion dollar industry. Some of the biggest players in the financial services industry have embraced Chainlink for their tokenization work.
For example, ANZ Bank, a big-four bank in Australia, has launched its tokenized products. Chainlink is also working with Swift, the giant organization that links most global banks. It handles billions of transactions every day.
Chainlink price is also soaring ahead of the Smartcon Conference that will kick off on October 2. The event, which will happen in Barcelona, is sponsored by companies like Celo, Polygon, Arbitrum, and Polybase among others.
Chainlink price prediction
The daily chart shows that the LINK crypto price has done well in the past few days. It has moved above the Ichimoku cloud indicator. Most importantly, the coin has risen above the 50-day and 200-day exponential moving averages. The two averages are about to make a bullish crossover known as a golden cross.
Therefore, the outlook for the Chainlink price is bullish, with the next key resistance level to watch being at $8.43, the highest point on July 21st. The stop-loss of this trade will be at $7.
