Chainlink price analysis: LINK continues descent to move below $6 support

Chainlink price analysis

TL;DR Breakdown

  • Chainlink price remained bearish over past 24 hours
  • Price declined more than 3 percent to move as low as $5.7
  • LINK price has crashed 84% since November 2021 high

Chainlink price analysis is bearish today, as price keeps continuing along a descending triangle pattern that emerged on July 8, 2022. LINK price lowered more than 3 percent over the past 24 hours, moving below support at $6 in the process. Price also touched the lowest point at $5.7 since June 18, 2021, falling almost 84 percent since the highest point of $51.52 in November 2021. LINK has been widely associated with the DeFi industry and its performance usually depends on the DeFi industry.

Over the past few months, the total value locked (TVL) in DeFi has crashed from $250 billion to $73 billion, translating in significant volatility in the market for LINK. After dropping below $6 support yesterday, the next support for Chainlink sits at $5.20.

The larger cryptocurrency market consolidated over yesterday’s price, as Bitcoin price attempted to remain in touch with the $20,000 mark. Ethereum also stayed on course with the $1,100 mark, whereas leading Altcoins showed mixed results. Cardano dropped 2 percent to $0.42, while Ripple made a minor jump to move up to $0.31. Dogecoin declined 2 percent to $0.06, whereas Solana and Polkadot dropped down to $33.79 and $6.78, respectively.

Screenshot 2022 07 13 at 11.34.59 PM
Chainlink price analysis: Cryptocurrency heat map. Source: Coin360

Chainlink price analysis: LINK gathers buyer valuation at discounted price on daily chart

On the 24-hour candlestick chart for Chainlink price analysis, price can be seen moving along a gradual descending triangle since July 8, 2022. This action is preceded by an extended period of sideways trend where LINK price is unable to break past the $6.5 mark. The $7 resistance still seems a step too far on the current trend for LINK, however buyer interest can be generated at discounted prices after falling below $6 support. Price will need to target the crucial 50-day exponential moving average (EMA) at $6.27 which is currently capping upward movement.

LINKUSDT 2022 07 14 04 30 24
Chainlink price analysis: 24-hour chart. Source: Trading View

The 24-hour relative strength index (RSI) can be seen picking up and reaching 44.35 after falling as low as 40.11, showing increasing market valuation for LINK. Coupled with a 24 increase in trading volume, Chainlink looks set to move back up to the $6.5 demand zone over the next 24 hours. Moreover, the moving average convergence divergence (MACD) curve can be seen forming lower lows currently and is following along the neutral zone.

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.

Razi Khan

Razi Khan

A Master's graduate in Renewable Energy Systems from England, UK, Razi is a tech-enthusiast. He's served as a content specialist for BlockPublisher in the US and has been an avid member of the crypto space as a journalist, trader, investor and analyst since 2018.

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