Analytics

Chainlink Price Analysis: LINK Buying pressure overcomes the bearish trend, likely to cross the $60 milestone soon

  • LINK/USD bounced from a low of $35 to a high of $41 all within Tuesday’s intraday session 
  • The LINK/BTC pair is trailing at 0.00091 BTC with a gain of 5.60 % at press time 
  • Bulls gained the upper hand as LINK attempted to hold the 50 day SMA 

LINK price action has been hovering towards the downside from the moment it established an ATH of $54 on May 10th. Yesterday’s intraday session terminated with LINK sitting at a low of 30% from its ATH. However, today’s session reversed the bearish trend as a consequence of a pickup in volume and buying pressure leading to gains worth 12%.

As determined by Pivot points, strong support is placed at $37 which could be considered as one of the rebound territories.  LINK’s competency in holding the 50 SMA would stimulate the price to bounce off from this particular level. A resurgence is much anticipated by the bulls as evidenced by a hammer candlestick anchored at critical support on the weekly chart. 

The bullish sentiment is also supported by an impending bullish crossover on the Stochastic RSI. 

On the contrary, the price action also demonstrates the possibility of an extended double top formation. A break down beyond the neckline could plunge the price back to the pivotal support of $30. This, in turn, would invalidate the bullish reversal scenario. 

LINK/USD on TradingView

LINK on the verge of breaking out on the 4-hour chart. 

tradingview

The price action on the 4-hour chart is restricted inside a massive ascending triangle pattern. On diving deeper, the price action also suggests a bullish double top pattern which was accompanied by a retest at FIB 0.236. A decisive close above this particular level will prompt LINK to break out from the existing resistance trend line. 

Whilst the price action is in favor of the bulls, the EMA’s are blocking the pathway by demonstrating a bearish crossover. Having said that, it wouldn’t be long before the tables are reversed and the key EMA’s are synchronized with the price action. 

The Crypto Volatility Index (CVIX) of LINK is currently flashing 65 which means that traders must brace themselves for significant price fluctuations. 

The RSI seems like it’s exhausted from levitating in the oversold territory signaling no signs of divergence ahead whereas MACD has transpired a bullish crossover. 

SUPPORT : $37, $30

RESISTANCE : $44, $54

   

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