Chainlink Price Analysis: We expect Link to break below the $26 support

Chainlink Price Analysis

TL;DR Breakdown

  • Chainlink price analysis is bearish today.
  • LINK/USD is currently tradinga at $26.8.
  • Closest support at $26.

Link price analysis is bearish today, as we anticipate additional downside following a rejection of the upside overnight. As a result, LINK/USD will almost certainly return to test the $26 vital support level.

Chainlink price movement in the last 24 hours: Chainlink rejects upside at $29, bearish momentum returns

The price of LINK/USD declined 1.10% on Friday to close at $30.56 after the bears successfully defended the downside above the $30.00 pivot level. Chart analysis will show that Chainlink attempted a bullish breakout during Asian trading hours but was rejected immediately by sellers who maintained firm control over proceedings until a late market dump took place.

Today’s candlestick has a long upper shadow and a small body, indicating that Chainlink bulls could not build sufficient momentum before being repelled from the important resistance levels provided by September 06-14. Furthermore, yesterday’s morning gap down at 02:38 UTC has filled, which means the bulls have lost their initial pressure. As a result, LINK/USD will likely decline to test vital support provided by the $26 price level.

If bears have control, LINK/USD will see range-bound trading between $26 and September 06-14 highs [$34.72] before returning to testing overnight lows of around $30 in later trading sessions before the end of this week. A break below the 25-period moving average [now at 29.00] could be material in triggering additional downside pressure that would likely see LINK/USD retest the important 50% Fibonacci retracement [23.03].

On balance, a further decline in Chainlink price towards the critical support zone outlined is the most likely outcome given the immediate strong resistance provided by the $30 price level.

LINK/USD 4-hour chart: LINK set to drop further?

On the four-hour chart, we can see that the Chainlink price has been rejected for additional upside overnight, implying that it will head lower later today.

Chainlink Price Analysis: We expect Link to break below the $26 support 1
LINK/USD 4-hour chart. Source: TradingView

The price of Chainlink has continued to move in a bearish direction during the past week. Following a strong start to November, when it rose by 10%, a substantial decline resulted in a new high set at $38.

The pair first dropped to $32, with consolidation taking place over several days. The bearish trend resumed on November 15th, pushing the price of LINK down to $28. On November 18th, the price dropped even further, reaching an all-time low at $26.

Chainlink began trading at $30 in March but has fluctuated around this level since then. Chainlink’s price has remained more or less constant at around $28 for the past few months. The price of LINK/USD is likely to fall further today as selling pressure remains high.

Chainlink Price Analysis: Conclusion 

Currently, Chainlink price analysis is bearish, as the upside was denied overnight, resulting in another selloff this morning. LINK/USD is expected to fall even further later today and test the $26 support.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

Sergio Goschenko

Sergio Goschenko

Sergio is a cryptocurrency journalist based in Venezuela. He describes himself as late to the game, entering the cryptosphere when the price rise happened during December 2017. Having a computer engineering background, living in Venezuela, and being impacted by the cryptocurrency boom at a social level, he offers a different point of view about crypto success and how it helps the unbanked and underserved.

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