Chainlink had a bearish chart as of the writing. The coin’s chart has seen a significant drop in the past week. Chainlink’s technical outlook remained negative despite the overnight appreciation of 2%. The market mover prices have fallen, causing many altcoins’ charts to go south.
Prior to this, LINK had been consolidating at $6.70 and $7.00. A fall in LINK’s price has caused it to travel below the $6.70 price mark. As the market’s buying power grew slightly, the technical outlook began to show a shift in price direction.
LINK was still in bearish territory despite the improvement in the technical outlook. At the present moment, the altcoin’s price movement cannot be termed as an invalidation of the bearish thesis. To enable LINK to beat the bears the coin must be at least $8.00.
The buying power must also be positive. A fall in it will cause the coin to drop below $6.00. With a global market capitalization of $1.03 Trillion, today’s cryptocurrency market has a total value of $6.00 billion. Positive 1.5% change in the last 24 hours.
Comparison of Chainlink Prices: 4 Hour Chart
LINK traded at $6.58 as of the writing. The coin’s price was between $6.70 and $7.00 before the drop in its chart.
Altcoin immediately faced resistance at $6.70. This was previously used as support.
If LINK manages to get past this level, the next price threshold would be $7.34.
Nearby support for the coin was $6.22. However, LINK may fall as low at $5.54 if bears completely takeover.
Chainlink was traded at a higher level in the most recent trading session, which indicated that buyers were recovering.
Technical Analysis
Altcoin’s price rose by 2.2% over 24 hours. Buying strength showed some recovery as well. Relative Strength Index moved above and past the half-line, which suggested that buying power was gradually rising.
The rise in buying power cannot be considered a bullish sign as the price of the coin must move above $6.70.
However, LINK’s price soared past the 20 SMA line. This is an indicator that buyers have been driving price momentum.
LINK was able to move above the 20 SMA as demand resurfaced. To allow bulls to completely take control, the coin must remain above the 20 SMA line.
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The altcoin showed bearish signs despite minor increases on the chart. Moving Average Convergence Divergence shows price momentum and reverses in the same.
MACD observed a bearish crossover, and created red signal bars.
These were the sell signals for altcoin. Bollinger Bands, which represent price volatility, have begun to shrink.
This meant there was a low chance of volatility or fluctuation at the time we wrote this.
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Featured Image from Libertex. Chart by TradingView.com