This past week saw some big movements from several top cryptocurrencies, most notably Chainlink (LINK), Ethereum (ETH), and Tezos (XTZ).
Following a mild drop last week, Chainlink continues making gains despite several analysts calling for a significant correction to the downside. Most recently, crypto investment firm Zeus Capital released a report warning investors not to “get fooled” by this current rally.
The firm believes the current rally is a pump driven by FOMO and speculation rather than technological improvements and user onboarding. It points out shills on Telegram and Twitter as actively pushing investors to buy into LINK and liquidate Zeus Capital’s short position to further drive the rally.
The comments also follow a drop in the price of LINK after making a new all-time-high of almost $20 mid-August. However, after finding support at $14 last week, LINK has resumed its upward trajectory bringing its monthly gains to 114%.
Chainlink continues to work on improving its platform, most recently acquiring the data transmission protocol DECO from Cornell University. DECO offers new and improved ways to transfer data more securely over the internet using cryptography and zero-knowledge proofs.
Ethereum has made relatively low growth of only 18% this month but yet remains one of the biggest gainers in the top 10 coins. By comparison, Bitcoin (BTC), struggling along in a tight range between $11,500 and $12,000, is up by less than 1% since July.
The interest in ERC20-based Defi tokens continues to drive Ethereum’s price up. This weekend, YFI, the rare governance token for the Yearn.finance Defi aggregation site exploded in price to over $37,000 per coin and brought its market cap to near $1 billion. Despite having no real-life use case beyond a governance voting token for yEarn, the rarity of the coin and popularity of the protocol has driven its price sky-high.
Tezos (XTZ) has had a bad week, down by over 17% since last Monday, but remains up 18% in the past 30 days. We see on the XTZ/USD chart that it continues to close higher lows this month and should continue up if it can hold current support around the 100 DMA at $3.20.
Last week, the developers behind Tezos announced the launch of its own oracle price prediction system, Harbinger.
“Having a reliable feed for on-chain price data is critical for DeFi lending platforms. Harbinger is an important building block for the decentralized finance ecosystem on Tezos,” said Robert Leshner, founder of Compound.
The developers hope it gains the same traction in the Defi space that has seen the price of Chainlink explode recently.