ChainLink and Synthetix surge 30% and 25% to lead market recovery

September 25, 2020
By Benson Toti

LINK/USD jumped 30% after Travala.com partnership, while SYN/USD is up 25%

Bitcoin has gained about 4% in the past 24 hours to touch highs of $10,800 again, as the altcoin market records similar rebounds after a week of major downward pressure. While coins like Cosmos (ATOM), Binance Coin (BNB) and NEO (NEO) have posted significant upsides, ChainLink and Synthetix Network have by far outperformed most of their peers.

LINK/USD

ChainLink’s slip to lows of $7.40 meant the popular DeFi token had sunk nearly 60% from its $20.00 peak in August.

However, just like at the start of the last major uptrend, the token’s decoupling from the main altcoin market picked speed and strengthened to see LINK/USD surge 30% and breach the psychological $10.00 once again.

Previously, we observed that the oracles platform had seen its price bounce strongly after being in a downtrend for close to six weeks. But it appears ChainLink marines massively loaded up at the new lows around $7.40, with news of a partnership with travel firm Travala.com adding to the buying pressure helped push LINK/USD higher.

As of writing, LINK/USD is trading around $9.84.

The next target would be to retake the 100 MA at $9.95 and then on to $10.00 before aiming for resistance at $13.30 established at the 50 MA. On the downside, $8.80 and $8.00 are key support zones.

SNX/USD

Synthetix Network’s token is among the top gainers in a crypto market looking to strengthen on the upside after widespread recovery. As with ChainLink and Cosmos, SYN/USD has rallied 25% in the past 24 hours to top out around $4.52 as of writing.

And although the price is capped by a strong resistance around $5.00, bulls are likely to test the area if they sustain the upside. More room for an uptrend will materialize if the rest of the market trends north into the weekend.

The upside is remarkable given SYN/USD retested major support area around $3.50, with momentum capped within a parallel descending channel. If sellers cave in, a break above the hurdle could open up a bullish run to highs of $6.00.

The 100 EMA is an area of resistance around $4.75 on the 4-hour chart and bulls will need to turn this into support. Only then can they hope to mount a successful fresh assault at the $5.00 supply wall.

If sellers take the initiative, the immediate support area is around $4.4 where a massive 1 million addresses purchased over 6 million SYN tokens. The next major support area is provided by the 50 MA at $4.2.