Blockchain offers more security, trust, and decentralization, but it faces one problem. You cannot retrieve and transfer information about real-world issues, and Chainlinks come with a solution.
Chainlink helps to link between the real world and on-chain data. This blockchain ‘middleman’ has created an oracle that provides essential information such as events, results, price actions, and links to traditional systems. That means you can do anything with the help of this decentralization system.
Sergey Nazarov and Steve Ellis invented it. In September 2017, it raised $32 million in the initial coin offering. In 2019, LINK was launched on Ethereum’s mainnet.
Generally, the real-world data can be manipulated before transferring it to the mainnet, but Chainlink minimizes the risk of data manipulation by verifying it in three different ways:-
- Distribution of data sources
- Distribution of oracles
- Use of trusted hardware
The Chainlink developers have been working on the system to make it more secure. They acquired Towncrier to add an extra layer of security to ‘Trusted execution Environments.’ Chainlink has a partnership with SWIFT and Google from the real-world business.
They also have partnerships with Synthetix and Polkadot from the crypto world. The real money can be transferred through SWIFT via Chainlink. The collaboration of Chainlink and SWIFT offers seamless interaction between on-chain and off-chain worlds.
The business is very interesting with a huge potential for future growth. If you are interested in investing for the long term, make sure you read this price analysis.
LINK was trading around $7.2. It has been consolidating between a range of $6 and $7.92. On the daily chart, the MACD indicator gives neutral momentum, and RSI is around 50.
The candlesticks are also forming around the baseline of Bollinger Bands. That means the Chainlink price is not bullish in the short term.
In the long term, the LINK coin is bearish. Candlesticks entered the lower half of the Bollinger Bands from December last year. After that, it has not crossed the baseline. It will face strong resistance at around $15 and will not cross the level this year.
The market is highly volatile, so we would not suggest trading for the short term. Start investing with the amount you can afford to lose.