Summary:
- The popularity of ChainLink has resulted in Binance launching a quarterly LINK Futures contract.
- LINK quarterly futures have been listed before the Ethereum’s.
- This move shows that ChainLink (LINK) is a fan favorite for crypto traders.
- LINK had earlier dropped below $7 and is now trading at $7.63.
The crypto exchange of Binance has announced that it will be launching ChainLink (LINK) a quarterly futures contract. Trading of the contract will commence tomorrow, July 22nd, at 7 am UTC. Traders can use a maximum of 75x leverage once the LINK quarterly futures contract goes live. The LINK quarterly contract will expire September 25th, 2020.
#Binance Futures Will Launch #LINKUSD Quarterly 0925 (September 25th) Futures Contract With Up to 75x Leveragehttps://t.co/OaX3FdbaPh pic.twitter.com/3aiDQKUTkF
— Binance (@binance) July 21, 2020
One fact that stands out is that the LINK based quarterly contract has been launched before an Ethereum one on the exchange. At the time of writing this, there are quarterly contracts for two digital assets: Bitcoin (BTC) and Cardano (ADA). A LINK based quarterly contract becomes the third.
ChainLink’s High Trade Volume Could be Why a LINK Quarterly Contract was Offered before Ethereum’s
The popularity of ChainLink (LINK) amongst crypto traders could be one reason that Binance chose to list its quarterly contract before that of Ethereum. Last week, LINK’s daily trade volume briefly eclipsed that of Ethereum particularly around the time ChainLink hit its new all-time high value of $8.92.
LINK Continues to Shake Off Malicious Zeus Capital Report
LINK’s daily trade volume is still high despite the emergence of last week’s malicious report by Zeus-Capital that claimed that the ChainLink project was pure vaporware. The report also predicted that ChainLink’s value in the crypto markets would eventually fall by 99% to $0.07.
However, crypto twitter has since debunked the report which has been pulled down from the Zeus-Capital website. At the time of writing this, the malicious report has been linked to another crypto project as seen in the following tweet.
1) $NEXO has been making waves on #Crypto #Twitter this weekend after suspicions have arose about some of their staff's involvement in attempting to negatively impact the price of $LINK using a potentially inauthentic firm knows as #ZeusCapital. The story pic.twitter.com/MCrzZtKeB3
— Santiment (@santimentfeed) July 20, 2020
Brief Technical Analysis of LINK/USDT
LINK has benefited positively from Bitcoin’s surge above $9,300. A brief look at the 6-hour LINK/USDT chart reveals that the digital asset experienced a bounce around the 50 MA. However, LINK/USDT still looks like it is in the midst of a pullback due to the impressive push earlier this month to its new all-time high of $8.92.
Therefore, placing a long on LINK at its current value of $7.63 might be a gamble given the fact that LINK is not as influenced by Bitcoin’s price action. This is the reason LINK was pumping in the markets despite Bitcoin being relatively flat. Therefore, caution is advised when trading LINK as Bitcoin pumps.