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BLUR and LINK Move In Opposite Directions Despite the Former’s Token Unlock

Published 16/01/2024, 12:26
BLUR and LINK Move In Opposite Directions Despite the Former’s Token Unlock

Coin Edition -

  • BLUR unlocked 49.46 million tokens, leading its price to increase by 16.31%.
  • A trader lost 87,419 in USDC while trying to capitalize on LINK’s movement.
  • While BLUR could drop to $0.60, LINK might lose hold of $15.

In two separate posts, Lookonchain disclosed that the Blur (BLUR) token unlock brought in a price increase while a Chainlink (LINK) trade went sideways for a trader. As per the BLUR post, Lookonchain mentioned that the project unlocked 49.46 million tokens on January 16. This brought the total unlocks to eight since it began on June 15, 2023.

Token unlocks refer to the release of previously restricted tokens from circulation into the crypto market. For most cryptocurrencies, unlocks bring about a price decline due to increased supply However, BLUR seems to be an exception, as Lookonchain noted that five of its previous seven unlocks ended in a price increase.

Concerning LINK, the smart money platform revealed that a trader made a loss of $87,419 by trading the token. First, the trader exchanged 2,653,075 for 168,188 LINK. At that time, LINK’s price was $15.77. However, the trader was not patient enough and sold the tokens when LINK dropped to $15.25.

Blur (BLUR)

At press time, the BLUR price had been subject to another increase. According to CoinMarketCap, the value of the token increased by 16.31% in the last 24 hours. This surge sent the price to $0.67.

Coin Edition considered the BLUR/USD chart from a technical perspective. At press time, the RSI was 69.28, indicating that the cryptocurrency could soon be overbought. If it hits 70 or rises above, there is a chance that the price might increase further.

However, this potential reading could lead to a retracement for BLUR. Should the price reverse, BLUR might drop between $0.55 and $0.60, which is a point of interest for the token. This possibility was also confirmed by the MACD.

BLUR/USD 4-Hour Chart (Source: TradingView)

Although the MACD was positive, the 26 EMA (orange) closed in on the 12 EMA (blue), indicating that sellers were at bay. If the 26 EMA crosses the 12 EMA, then bearish momentum could be confirmed.

Chainlink (LINK)

In LINK’s case, the trader who made a loss would have lost more as the price had fallen to $15.11 at press time. From the 4-hour chart, LINK’s momentum has struggled to maintain its bullish stance since January 14. This was confirmed by the Awesome Oscillator (AO).

As of this writing, the AO was 0.35, but with red bars dominant, the downward momentum could increase. If this happens, LINK’s price might decrease from $15.11.

LINK/USD 4-Hour Chart (Source: TradingView)

Furthermore, the 0.618 Fib level was at $14.53. This position suggests that LINK might not be able to hold on to the $15 region. However, if the cryptocurrency falls below $15, $14.53 could be a good entry before its next rally.

The post BLUR and LINK Move In Opposite Directions Despite the Former’s Token Unlock appeared first on Coin Edition.

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