Crypto Analyst Sounds Warning Alarm For Potential 50-60% Crash In Chainlink Price, Here’s Why

Source Newsbtc

Crypto analyst CrediBULL Crypto recently warned that Chainlink (LINK) could experience a 50% to 60% drop in its price. However, based on his explanation, LINK holders may not have cause to worry as such a price drop is part of the crypto token’s growth.

Why Chainlink Will Experience A Price Drop

CrediBULL Crypto explained in an X (formerly Twitter) post that a “50-60% drawdown is normal, natural, and healthy” given that Chainlink has experienced ten months of up only and a 4x rally.” The analyst expects this price drawdown to last about two to three months and suggested that Chainlink could see brief price surges, but that doesn’t invalidate the current bearish trend.  

Chainlink

In a video posted on his YouTube channel, CrediBULL Crypto further explained why he is so confident in shorting Chainlink. He alluded to the rise in the crypto token’s open interest and claimed that many levered players entered Chainlink on the pump to a major resistance level. He expects that those investors who opened longs will likely begin to close their positions as soon as Bitcoin experiences a pullback and the crypto market starts bleeding again. 

The crypto analyst added that these investors will capitulate at the lows, which will bring Chainlink’s price to the range lows. CrediBULL Crypto claimed that this move will bring LINK back down to $11.96, about a 30% drop from its current price levels. Based on this, he revealed that he will be looking to short Chainlink around $16, which is the likely level for rejection. 

Same Expectations For Meme Coins

CrediBULL Crypto also expects meme coins to experience a significant price drawdown, given the parabolic rally they have enjoyed since the beginning of the year. Meme coins Dogwifhat (WIF) and Pepe (PEPE) have been the most significant year-to-date (YTD) gainers among the top 50 crypto tokens, with price gains of over 1,400% and 500%, respectively. 

The crypto analyst warned that some major meme coins have already seen their tops and will likely experience significant declines. In the YouTube video he posted, he also gave insights into how low Dogecoin, WIF, and Pepe could drop. 

For Dogecoin, he predicts that the foremost meme coin could drop to as low as $0.10. However, CrediBULL Crypto noted that he can’t short Dogecoin yet because he expects a relief pump to $0.18, the range he is looking to open a short position. 

Meanwhile, he predicts that WIF could drop to as low as $1.6, revealing that he will be looking to short it at $3.90 because he expects the meme coin to enjoy one last push to the upside before dropping to the downside. CrediBULL also predicts a significant price decline for PEPE. He claims the meme coin could experience a drawdown of as much as 60% since it recently hit a new all-time high (ATH).

Chainlink price chart from Tradingview.com
Disclaimer: For information purposes only. Past performance is not indicative of future results.
placeholder
Oil prices rise as US and Iran extend talks into next weekUS-Iran talks end with no deal but signs of progressOPEC+ to consider oil output increase for April, sources sayBrent and WTI benchmarks register slight daily gainsBy Anna Hirtenstein LONDON, Feb 27 (Reuters) - Oil prices rose on Friday but were on track to finish the week relatively flat after t...
Author  Reuters
Yesterday 10: 26
US-Iran talks end with no deal but signs of progressOPEC+ to consider oil output increase for April, sources sayBrent and WTI benchmarks register slight daily gainsBy Anna Hirtenstein LONDON, Feb 27 (Reuters) - Oil prices rose on Friday but were on track to finish the week relatively flat after t...
placeholder
Silver Price Forecast: XAG/USD jumps above $90 as AI valuation risks boost safe-haven demandSilver price (XAG/USD) is up 2.4% to near $90.60 during the European trading session on Friday. The white metal strengthens as escalating concerns over valuations of Artificial Intelligence (AI) stocks have prompted demand for safe-haven assets.
Author  FXStreet
Yesterday 08: 11
Silver price (XAG/USD) is up 2.4% to near $90.60 during the European trading session on Friday. The white metal strengthens as escalating concerns over valuations of Artificial Intelligence (AI) stocks have prompted demand for safe-haven assets.
placeholder
Top 3 Price Prediction: Bitcoin, Ethereum, Ripple – BTC, ETH and XRP consolidate with short-term cautious bullish biasBitcoin (BTC), Ethereum (ETH) and Ripple (XRP) are consolidating near key technical areas on Friday, showing mild signs of stabilization after recent volatility.
Author  FXStreet
Yesterday 05: 49
Bitcoin (BTC), Ethereum (ETH) and Ripple (XRP) are consolidating near key technical areas on Friday, showing mild signs of stabilization after recent volatility.
placeholder
Gold rises to near $5,200 amid US tariff uncertainty, US PPI data in focusGold (XAU/USD) attracts some buyers to around $5,195 during the early Asian session on Friday. The precious metal edges higher as US tariff uncertainty spurs safe-haven demand. Traders await the release of the US January Producer Price Index (PPI) reports later on Friday for fresh impetus. 
Author  FXStreet
Yesterday 05: 45
Gold (XAU/USD) attracts some buyers to around $5,195 during the early Asian session on Friday. The precious metal edges higher as US tariff uncertainty spurs safe-haven demand. Traders await the release of the US January Producer Price Index (PPI) reports later on Friday for fresh impetus. 
placeholder
Bitcoin Rallies 4% to Near $70,000 as Market Optimism ReturnsBitcoin price nears $70,000 as market bullish sentiment rebounds.On Thursday (February 26), Bitcoin (BTC) saw a rare strong rally recently, jumping nearly 4% on the day to a high above $6
Author  TradingKey
Feb 26, Thu
Bitcoin price nears $70,000 as market bullish sentiment rebounds.On Thursday (February 26), Bitcoin (BTC) saw a rare strong rally recently, jumping nearly 4% on the day to a high above $6
goTop
quote