- Chainlink price prediction – set to recover to $14
- Chainlink hits resistance at $16.4 and $20
- Second wind of Altcoin season may see $16.4 challenged
- LINK price down 17 percent on the day
Alt season saw Chainlink (LINK) grow exponentially, but following recent news and Bitcoin’s price correction, LINK prices dropped suddenly. At the time of writing, LINK is priced at $11.74 and seems to be proceeding in a downward spiral – falling 17 percent today alone.
Observing the 1-day chart, the begins near $14.5 and quickly deteriorates to around $11.4 following the 14-degree descending trendline. The On-Balance-Volume (OBV) indicator – using volume flow to inform the trader – shows a spike between 3:00 AM GMT and 6:00 AM GMT. Far smaller volume levels follow this as traders proceed cautiously, suspecting LINK prices to head towards $11.
Stepping back further to view the month so far, it is clearer to see the sudden drop in LINK price that started on the 25th November 2020. On the 24th of November, a resistance level was found around $16.4, and as volume and OBV spike, bearish descent began at full speed.
The Bollinger Bands (BBs) show LINK prices steadily growing – breaking just beyond the Upper BB before falling to a point which almost touches the Lower BB. As seen in volume levels, bullish steady volume levels were greeted by a spike of bearish repose. This fall coincides directly with the fall of Bitcoin prices today.
Chainlink price volatility through the month has been quite steady but is breaking away from its History Volatility (HV) level of 100 HV to beyond 150 HV. As with all things, what rises will fall and vice versa. This spike of volatility might proceed for a short time, but volatility levels are predicted to return to standard levels upon recovery, per the analyst.
The 1-year Chainlink price prediction view gives us a quite different picture.
Recovering from March’s plummet with a 34-degree ascending trendline, Chainlink found support at $6.4 on it’s way to the $20 resistance level in August. Stumbling downwards into September and October, LINK prices see a wave formation appearing towards the end of 2020. This pattern shows signs of widening – perhaps caused by the volatility of late – but if it continues, the price should increase accordingly into December.
It should be noted that volume levels show spikes of bearish activity, more so into November and on to December.
Please use the oscillator below to help inform your decisions on whether Chainlink is currently a viable addition to your e-wallet.
To summarize this chainlink price prediction – the prediction itself.
Taking a micro once again and observing November, a wedge formation becomes apparent. LINK price is predicted to fall slightly further towards $11 before returning to $14 in the coming month if this pattern continues to persist.
As Oscillators indicate – at the time of writing – a strong buy signal, prices are expected to worsen before they see a strong recovery. After recovery, LINK prices are predicted to challenge the resistance levels of $16.4 and $20 again soon, per the analyst.