Chainlink (LINK) Price Forecast: Can LINK Begin an Upward Movement?
Chainlink price has been displaying bearish signals below the $15.00 resistance level when compared with the US dollar. The price is currently trading under the $14.20 mark and the 100 simple moving average (4 hours). On the 4-hour chart of the LINK/USD pair, a notable bearish trend line is forming with resistance close to $13.50, according to data from Kraken. However, if the price can surpass the $15.00 resistance area, it could potentially initiate a respectable uptrend.
Overview of Chainlinkโs Recent Movements
In recent days, Chainlink observed a significant drop from its position above $18.00. LINKโs price saw a decrease below the crucial $15.00 pivot point, pushing it into a short-term bearish territory, akin to Bitcoin and Ethereum. The price touched the $12.00 support range, hitting a low of $11.92 before commencing a recovery attempt. The price managed to climb above $12.50 and even surpassed the 23.6% Fib retracement level from the downward movement, stretching from the $18.66 high swing to the $11.92 low.
- Technical Analysis
- Resistance and Support Levels
- Indicator Analysis
Possible Scenarios for Chainlink Price
As LINKโs price still struggles to exceed the $14.20 threshold and the 100 simple moving average (4 hours), immediate resistance is positioned near $13.50. Additionally, a crucial bearish trend line is developing with resistance close to $13.50 on the 4-hour LINK/USD chart. The upcoming significant resistance area lies around $15.00, and a clear breakthrough at this level could initiate an upward trend toward $16.00 or even the 61.8% Fib retracement of the previous downward movement from the $18.66 high to the $11.92 low. Further substantial resistance can be detected near $18.00, potentially leading to a test at $20.00 following a successful breach.
Contemplating Further Downside
In the event of LINKโs price failing to surpass the $13.50 resistance mark, a new downturn may occur. Initial support for the downside is positioned near $12.80. The subsequent key support level is around $12.00, under which the price could potentially revisit the $10.80 mark. Continued losses might push LINK towards $10.00 in the foreseeable future.
Examining Technical Signals
Key technical indicators offer insight into LINKโs current state:
- MACD: The 4-hour MACD for LINK/USD reveals increasing momentum within the bearish range.
- RSI: The Relative Strength Index (RSI) for LINK/USD is presently below the 50 mark.
Key levels of support and resistance include $12.80 and $12.00, respectively, with significant resistance observed at $13.50 and $14.00.
Hot Take: Chainlinkโs Future Trajectory
In conclusion, Chainlinkโs price movements suggest a precarious balance between potential downsides and prospects for an upward surge. As LINK navigates these critical resistance and support levels, traders and investors alike are closely monitoring the technical signals for valuable insights into the future trajectory of this cryptocurrency.
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