- Chainlink price analysis is bullish today.
- LINK/USD retraced overnight.
- LINK/USD is trading at $23.
The Chainlink price is gaining momentum today as a new higher low is established around $22 after a retracement from the $25.5 resistance over the previous 24 hours. As a result, we anticipate LINK/USD to reverse and move upwards, eventually breaking through the current high.
LINK/USD Daily Chart Chainlink had some preliminary testing of the $25.5 resistance, with some rejection occurring at this level after consolidation above $24. The price action eventually broke this resistance, spiking up to $25.76 before retracing back to $22for a new higher low.
The breakout was accompanied by a surge in trading volume, leading to the likely reversal of this trend. We can see that the price action has found support at $23 and is beginning to mount a slight recovery from this level. Key technical indicators are bullish, with RSI at 55.04, B&H 3D at 1.03, and OBV trending upwards to indicate buying pressure building up around the current price action. Implied volatility has declined by 4.5 percent to 56.17 percent, indicating a bullish future outlook.
LINK/USD Daily Chart This is further supported by a moderate increase in daily trade volume, which has increased by 21.41 percent to $1.04 billion over the previous 24 hours, according to CoinMarketCap.
LINK/USD 4-hour chart: LINK prepares to rally?
On the four-hour Chainlink price analysis chart, the MACD is positive, with solid buying pressure pushing it upwards and towards a bullish crossover. The short-term moving averages are all beginning to trend upwards, which aligns with our expectations going forward.
LINK/USD 4-hour chart. Source: TradingView
The Chainlink price decline has resumed with a vengeance over the second half of September. After several days of consolidation, a modest upswing to $32 before another significant drop ensued.
The price of LINK/USD has fallen more than 30 percent in a few days, and support was located at $21. What came next was an upswing in response to the previous crucial support level of $25.5, which is now a resistance barrier.
After breaking through the resistance, Chainlink’s price reversed back, establishing a somewhat higher low at $22. A second test of the $25.5 resistance ensued after this price movement development, resulting in the current higher local low at $23.
Looking ahead for LINK, we anticipate a breakout from the current consolidation stage to head towards the all-time high around $30. The trade volume is conducive to this price action, and it seems that sentiment has turned bullish once again. Price action is testing the $25 support level, and we anticipate this to hold given that it has acted as a floor in previous price action. Expect momentum to build around these levels, allowing LINK/USD to rally towards $30 in due course.
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