Chainlink (LINK) continues to capture investor interest as on-chain data indicates a potential rally. Bolstered by a surge in its long-to-short ratio to its highest monthly level and positive funding rates, LINK extended its gains by more than 4% on Thursday. Currently trading around $17.22, the cryptocurrency has rallied nearly 13% over the past two days, highlighting a renewed momentum in the market.
Economic factors also play a significant role in shaping investor sentiment. The US Dollar is experiencing renewed selling pressure, driven by concerns over an economic slowdown due to tariffs imposed during the Trump administration. Such developments lend support to the sentiment surrounding Chainlink, as investors seek alternatives in the volatile economic landscape.
While Chainlink's performance captures attention, the broader economic context remains dynamic. Investors are closely monitoring mid-tier US jobs data and Fedspeak for further cues on the market's direction. This backdrop of uncertainty provides fertile ground for alternative investments like Chainlink to shine, especially given the current economic headwinds faced by traditional currencies such as the US Dollar.
In parallel, other financial markets display mixed movements. Gold prices struggle to establish a clear direction during the Asian session, extending their sideways consolidative price movement for the second consecutive day. Meanwhile, GBP/USD gains traction, picking up bids to regain 1.2900 in the early European session, reflecting the fluctuating sentiment in the currency markets.
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