I'm like look at this drawdown and from the all-time high I mean it
went down 88 almost against Bitcoin it is still down 78 against Bitcoin
from its all-time high so I mean you haven't really missed out on anything
at this point what I'm looking for with link over the next few months
hey welcome back everybody to altcoin daily today we're talking about a blue chip cryptocurrency
which historically has outperformed in Bitcoin bear markets of course we're talking about chain
link a decentralized blockchain Oracle Network built on ethereum the network is intended to be
used to facilitate the transfer of tamper-proof data from off-chain sources to on-chain Smart
contracts and of course while it is built on ethereum it is blockchain agnostic so it can
connect with any of them chainlink has connected with in fact over 1 500 different projects from
crypto to startups to large Enterprises that use chain links decentralized oracles to securely
connect smart contracts with off-chain data and services and then of course within the
chain link project there's different products different services that chain link offers one
supporting decentralized data feeds two providing verifiable sources of Randomness three enabling
Automation and for supporting cross blockchain interoperability today my friends we are joined
with none other than the Benjamin Cowan into the cryptoverse been talking about chain link since
the very beginning and he has a lot of information to share with us today Benjamin Cowan how are you
doing today pretty good it's a pleasure to be back here I always like like coming on here and
talking about crypto with you definitely now if you subscribe to my channel Benjamin I know you
do and I subscribe to yours you know that chain link besides connecting with ethereum and Solana
and Phantom and all that stuff besides you know being the blockchain Oracle service for Gemini
for Kraken for binance for coinbase besides that chain link of course has been integrated by Swift
that was a big one big one the global provider of secure Financial Services everybody you know the
ethereum people wanted it to happen with them the Bitcoin people wanted Bitcoin to basically
be uh you know obsolete Swift well Swift is still around it's still the blue chip in you
know Legacy Traditional and it's amazing that they integrated chain link that's what excites me about
the project including you know the Associated Press Amazon web service it seems like there's
no other game in town but my question for you Ben before we get into the charts is what x
excites you most about chain link why have you even talking about it since you know the beginning
for me I think chain link sort of acts as a a backbone for a lot of cryptocurrencies I I
would argue that it's sort of integrated itself uh into into so many different projects over the
years I mean as you mentioned I don't know the exact number like you do but uh I've we've seen
over the years how just how many cryptocurrency projects has sort of integrated itself into and
I would argue that it provides a a very valuable service and providing like real-time feeds
um via the blockchain one of the reasons why I think it hasn't done as well recently obviously
is not necessarily because chain link isn't a great project it's more so just because of the
overall Market risk and the fact that we are in fact in a bear Market but I do think the
fundamentals of link I actually have a whole video on my channel called like what is chain link where
I go through it uh but I think the fundamentals of chain link shine through a bit better in the bear
market then they sometimes do in the bull market if that if that makes sense definitely I mean
there's you know there's price and then there's value and sometimes the two do not correlate and
you know you want to look in the bear market for these projects that have a lot of value so let's
jump into the charts Benjamin I want to know is chain link undervalued hit the like button if
you appreciate having Benjamin on Benjamin I can see your screen okay so I just want to show you
a few charts here uh the first one is just link USD and I would argue that we're potentially at
a very similar phase that we were at sort of in the middle of 2018 uh but one of the things that
I always found really interesting with chain link is that and I know you are very familiar with what
happened with crypto at the very end of 2018 right we saw the floor collapse right um but what was
interesting with link is that it actually did not put in a lower low sort of the load that it put
in was actually in the summer of 2018 and that was something that that really got my attention
back then I mean I I did hold link I I did hold some in 2018 I think the earliest I bought any
um was was it was before I know it was before the final crash in 2018. I remember that for sure but
it sort of grabbed my attention that hey this is a this is going to be a good project if at
the end of the bear Market the end of the the capitulation that set Bitcoin down 50 and a lot
of altcoins down 80 percent link was still able to hold its prior low um and and then
ever since then it you know it went through this crazy bull market and and it peaked out in May
of 2021 which arguably the entire crypto asset class arguably has been in a bear Market really
since mid-2021 and we sort of leveraged our way up to uh up to the November Peak but one of the
interesting things is that you know one could make the argument that we're we're sort of at a similar
phase right now on the link USD chart that we were kind of over here and what you'll notice is that
link actually had a had a bit of a pop you know right before we had another another leg down in
the overall crypto Market what I'm looking for with link over the next few months uh because I
mean this year I've actually been relatively light on my altcoin stack but of course I don't want to
stay light on my altcoin stack forever because I do think that you know cryptocurrency is much
more than just Bitcoin I do think it we're going to have lots of cryptocurrencies in the future
um one of the things I'm looking for is how well does link hold up if we do get you know some some
more fear closer to the end of the year with the FED continuing to raise interest rates and how
does it hold up against Bitcoin because here's the really interesting thing if you look at the
link USD chart and you'll see that it was sort of just an accumulation phase or say the second
half of 2018. if you look at the link Bitcoin chart I've had this chart like literally on my
link Bitcoin tab for for a long time now you'll notice that it was already in an uptrend against
Bitcoin throughout 2018 and then really built into this uh you know manic bull market that
link link Bitcoin actually topped during the D5 summer of 2020 I mean that was a great summer
for a lot of D5 projects and you can see that it actually peaked right there but what's interesting
is how since then we've just sort of gone through the same bubble pop scenario that we've seen time
and time again but this one's on the link Bitcoin pair and noticeably I would argue that this here
could be the despair phase right sort of that despair phase that we've seen happen in a lot
of these crypto assets before in the past but just I I would argue that this is is somewhat similar
and what I'm looking look what I'm looking towards is as we as we continue to navigate
um you know whether we're whether we're whether the bear Market is over or not or whether we have
another leg down only time will tell but what happens over the next three to six months can
link USD sort of hold around these levels even if crypto has another leg down and if it does
is link Bitcoin sort of just getting back onto it it's mean right like it's sort of the the average
path that it's been on I think that's sort of what's what link USD and Link Bitcoin are in the
process of doing link Bitcoin is sort of trying to reclaim the the path that it was once on and
I think as we get on this path um and as crypto eventually the crypto winter will fall and as that
falls and I think you really could be looking at you know at a relatively undervalued asset
um of course in the short term who really knows because I mean if equities get another leg down in
the next three to six months I'm sure it'll have an effect on crypto but I do think these are some
really interesting charts to be looking at uh with respect to to Link and Link USD and Link Bitcoin
so what I hear you saying is chain link might be undervalued but not necessarily there might be
a lower low I think right now I think the uh so I I right but I think about it in terms of like
the idiosyncratic risk and the market risk so the idiosyncratic risk is just based on what link is
doing and then the market risk is based on like what everything else is doing right like Bitcoin
ethereum like what is everything else doing I think link is is looking relatively strong okay
so I think it looks strong against Bitcoin I think it's looking strong against ethereum and
I would say you could I think you could make the case that it is undervalued against Bitcoin right
now I think you could probably make the case that it is undervalued I mean look at this I mean like
look at this drawdown and from the all-time high I mean it went down 88 almost against Bitcoin it is
still down 78 against Bitcoin from its all-time high so I mean you haven't really missed out on
anything at this point but I think it's probably undervalued against Bitcoin if we take a look at
the link ether chart you could also argue that it's going through a similar phase like it did
sort of in the middle of 2018 right where it it kind of puts in these lows and then it gets
it recovers a little bit but even though link eth was going up during this phase link USD was
still struggling a bit right until until the bear Market was actually over but I think to
answer your question bluntly I I think it probably is undervalued against Bitcoin and ethereum the
only sort of question in the air is is can it go lower against the US dollar and obviously that's
going to be dependent on the overall Market risk and and not really anything related to chain link
now a catalyst that not many people are talking about because it's still kind of in the beginning
is that chain link is moving to proof of stake this December they're offering Early Access
if you meet certain requirements that you can start staking your chain link and pretty soon
that'll be open to everybody and you know kind of the thought is that that just like ethereum
staking the link will be good for supply and demand and will make it have better tokenomics
um any thoughts I mean I think look this is this is I mean them going to prove mistake
has been something we've been waiting for forever I mean I I it's hard to imagine it's
still 2022 and it hasn't happened I said the same thing about ethereum you know for years
uh but yeah I I think ultimately it's a good thing I mean I also think it's a good thing
for ethereum as well uh I I think it it is a good transition for for link to make the whole idea of
of locking your tokens up and earning interest uh I do think makes a lot of sense and I think
a lot of crypto investors have hopefully learned their lessons from from um two high yields right
over the last year in in certain projects so yeah I think it's a good thing going forward
um and I mean I I do think that's probably one of the reasons why you are starting to see some of
the relative strength against Bitcoin and ethereum I mean like you know the the the narrative for for
ethereum's evaluation right at least in the short term has been spent right like the merge okay so
now we have to wait a while for a new narrative to pop up but links still are arguably has uh
some strong narratives coming up here over the next several months so yeah I do think it's a
good thing and we'll probably contribute to link staying somewhat strong against the uh the Blue
Chip cryptos so I don't want to put words in your mouth Benjamin but it sounds to me like you're
still bullish on chain like just as bullish as you were back in the day and it served you pretty well
are you just as bullish and how bullish are you yeah I mean long term I'm definitely bullish uh
I do think I wish it would have performed a bit better at the end of the bear Market
uh you know to keep up with some of the other cryptos but that's just how it is
um I am actually I think one of the lessons I learned with chain link about being bullish is
that I I'm gonna stay I'll stay bullish on it once the uh once I'm more convinced the bear Market is
over but I also don't want to let it go too far so like link Bitcoins run was over before Bitcoin
ran itself so I have to remember that right like once Bitcoin starts running in the future
Link's probably going to take the uh a back seat for a while but listen 2019 link did
really really well after the bear market and if if history repeats every four years or so I
mean we're coming up on 2023 I am I I would say I am bullish on on the link Bitcoin valuation
and the link ether valuation with them getting to you know back to what their normal sense is
uh again you know I know you want to impress me on the link USD like you know how bullish am I
um my main question right now is just recessionary concerns and and and fed Federal Reserve concerns
raising interest rates into a into a slowing economy I don't really know exactly how hard
that's going to hit projects like chain link so again I think against the US dollar it's probably
um 50 50 on on what it does but I think again it's Bitcoin and Eve you could you could easily make
the case that you should be bullish whoa Benjamin so you're telling me that the inflation currency
devaluation the FED tightening the equity indices breaking their June lows the comparisons between
the financial 2008 financial crisis the s p closing three red quarters in a row the
sovereign debt crisis OPEC cutting oil production Putin Waging War against the westers telling me
all that these macro conditions are making you a tad bit you know tepid about the next year yeah
just just a little bit you know I mean like like maybe link doesn't hold up always the best under
those conditions uh but we'll see we'll see I mean the thing is eventually we will come out of it and
um and that's why I'm drawing the distinction between like link Bitcoin and Link USD and
Link Eve because it's all about like relative performance right like uh it's all about relative
performance and I do think link is probably starting to finally look strong against some
of the blue chip counterpoints but yeah I mean against the US dollar man if if the s p goes
through a final capitulation or something like we've seen in Prior I mean look the last 10 years
has been pretty fun for financial markets right like just money printing Galore uh but if if we
see something like you know what we saw in 2000 or 2008 uh or even going back even further then yeah
I mean we're we're likely in some pain for a while on all USD evaluations of of most risk assets
I feel it Benjamin thank you so much for jumping on the channel today and updating
us on chain link this is why I subscribe to you I encourage our audience to go subscribe to you
give us some final Alpha for our audience Benjamin some final Alpha um well the the
only thing I I mean a lot of things I talk about on my Channel right now are are how
the Bitcoin dominance should go much higher but while I say that there's always a few
altcoins that outperform Bitcoin even when the dominance is going higher and and if history is
an indication uh at the end of a bear market and in an accumulation phase before next bull market
chain link is is a is a reasonable place to look but again uh one one last thing if you
guys are watching from my channel make sure you subscribe to all coin daily as well I mean
they've been putting out videos for a long time and uh always have a lot of great discussions
classy move Benjamin thank you so much man thanks for having me