- Chainlink price expected to climb to $22.50 by tomorrow.
- The closest support lies at $19.00.
- LINK faces resistance in closing above the $20.00 mark.
Chainlink price is currently testing the $20.00 resistance level as LINK markets observe strong bullish momentum. The four-hour chart shows a bullish rally beginning from lows of $14.00 on January 13 until now.
Unlike Chainlink, the broader cryptocurrency market sentiment is bearish as most major cryptocurrencies recorded losses across the last 24-hours. Bitcoin has failed to cross above the $40,000 level and shows a ten percent fall across the last 24-hours. Similarly, Ethereum also shows a double-digit decline across the last 24-hours.
After starting the year with relatively low volatility, Chainlink price has observed its share of volatility across the last two weeks. LINK price action across January has seen marked bullish movement as the charts observed wave-like bullish activity raising the price from lows of $11.50 to current highs.
The price initially faced resistance in crossing the $18.00 level, which caused the price to fall to the $14.00 level. However, across the last three days, Chainlink price has seen strong bullish activity recovering back to the $18.00 level. This time, the bulls broke through the resistance as the price rose to current highs above the $20.00 level.
Across the four-hour technical indicators, the MACD shows strong bullish pressure in the markets. The two EMAs are diverging further, showing increasing bullish momentum in the markets. The indicator may indicate a bearish reversal if LINK falls below the $20.00 level.
The RSI is above the 70.00 mark, suggesting that LINK has little to no room for further upwards movement. However, the indicator is still below the 80.00 level and not issuing a sell signal yet. Furthermore, if LINK closes the day around the $20.00 level, the Chainlink price may observe a rise towards the $25.00 level tomorrow.
The Bollinger bands are currently expanding, suggesting increasing price volatility for the Chainlink price in the short term. Currently, the price is trading near the upper limit of the indicator.
Overall, the four-hour technical analysis issues a buy signal with 18 of the 28 major technical indicators issuing buy signals. Meanwhile, eight indicators remain neutral while only two indicators issue sell signals.
Across the daily frames, 19 of the 28 indicators issue a buy signal while none of the indicators is issuing a sell signal. Meanwhile, ten indicators remain neutral and do not indicate support towards either side. Overall, the analysis issues a strong buy signal suggesting a sharp increase in LINK price in the next few days.
If Chainlink price closes the day around the $20.00 level today, LINK may rise to $22.50 by tomorrow, with future movements aiming at the $25.00 level. The strong technical indicators and the rising trade volume confirm this suggestion.
Conversely, if Chainlink price falls below the $19.00 mark, LINK may fall back to the $18.00 level. Further downwards movement may suggest a fall to the $14.00 level.
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.