FOMO drives crypto market rally as Chainlink price rise eclipses Bitcoin’s gains in the past week
- Chainlink price surpassed Bitcoin’s 15% rally in the past week while the likes of THORchain, RUNE and others shot up by 30% and more.
- The market’s rally is driven by the Fear Of Missing Out (FOMO) with the emergence of new tokens in the top 100 list.
- One such token, Kaspa, has gained over 80% in the last couple of days.
Bitcoin price rose to $38,000 during the intra-day trading hours on Thursday. However, even that rally is not too much as compared to many of the altcoins. But one cryptocurrency stood out, which not only noted significant gains but also, reflected the bullishness that drove the rally – Chainlink.
Chainlink leads the FOMO rally
According to the crypto analytics platform Santiment, the past couple of days have been very fruitful to the crypto market, especially the altcoins. While nearly all of the top 100 crypto tokens observed gains, five of them stood out; these included Chainlink, OKB, THORchain, Kaspa, and NEO.
These altcoins created significant demand in the crypto market, which translated into gains for other altcoins as well. Put simply, this phenomenon is known as Fear Of Missing Out (FOMO), which is a crucial driver in the crypto market.
Generally, during periods of such bullishness, FOMO tends to increase the inflows in the market which translates to significant gains, such as the case of OKB and RUNE, which are smaller market capitalization tokens but performed impressively this past week.
Altcoins rising due to FOMO
THORChain (RUNE) rallied by 36% to trade along with OKB, which gained similarly in the last seven days. Only two other altcoins performed better than this – new entrant Kaspa (KAS), which rose by 60%, and Chainlink.
Chainlink price rise stuns the market
In the span of three weeks, Chainlink price has risen by more than 103%, of which 30% arrived in the past 24 hours. Trading at $14.83, LINK is presently trading at a 19-month high, looking to breach the $16 mark.
However, the altcoin could fare better if the investors continue to remain consistent and act just as they have been for the past couple of days. This is crucial in pushing the price further up, retrieving to cement the recent increase.
LINK/USD 3-day chart
Nevertheless, if investors begin booking profits, Chainlink’s price is more than likely to decline and could lose a chunk of the growth noted in the past few days. Fortunately, LINK has a few support levels it could bounce back from at $14.0, $12.2 and $10.0. Losing the big psychological level as support would invalidate the bullish thesis.