- LINK price prediction suggests the crypto coin is struggling to maintain support at the 100 simple moving average (SMA).
- Price drop lingers as the short-term technical indicators show a bearish trend.
- The MACD indicator has crossed below the signal line presenting a bearish outlook.
- The TD sequential indicator on the 4-hour chart presents a buy signal in the offing.
At the time of writing, Chainlink is facing intense selling pressure, just like other leading cryptocurrencies in the market. Following its recent price rejection at the $31 mark, LINK has been dealing with overhead pressure that is starting to overwhelm the crypto coin.
Tentative support at the 50 SMA is doing little to protect the current price of LINK from the ongoing price breakdown.
LINK relying on crucial support to avoid further price decline under the $20 mark
At the time of writing, LINK is exchanging at $26.4 while holding firmly to its immediate support level provided by the 100 simple moving average (SMA). If the number 10 crypto asset continues with the current trend, bears might cut through this short-term anchor zone, triggering a massive selling action as more sellers will come in from the sidelines.
An extensive examination at the MACD, also known as the Moving Average Convergence Divergence, shows the current bearish trend might last longer than former trends. Keep in the mind that the MACD blue line is showing signs of crossing the signal line. This is a formidable bearish indicator.
In an event the MACD blue line moves towards the midline, LINK might revisit its next crucial support, extended by the 200 simple moving average (SMA) slightly below the $20 mark.
According to the IOMAP technical indicator by IntoTheBlock, LINK is currently facing intensifying selling pressure that is negatively impacting its valuation. This indicates that a price recovery might either take longer to materialize or delay.
According to the IOMAP model, LINK experienced a lot of activities between the $27 and $30 region. Here, about 13,000 traders previously bought approximately 22 million Chainlink coins. However, the selling pressure being witnessed currently is likely to absorb the buying spree that was initially witnessed.
On the other hand, the IOMAP technical indicator shines a light on a strong support region, running from $22 and $23. Approximately 10,500 traders are currently reaping profits from the roughly 34 million LINK coins bought within the price range.
If LINK manages to hold above this price region it might counter the current downward price trend that is headed below $20 mark.
LINK Price Prediction: Is there hope for the crypto coin?
On the other side, the TD Sequential indicator shows a potential buying signal on the 4-hour chart. The technical indicator presents the current selling pressure is losing momentum as buyers are preparing to take advantage of the current low prices.
If confirmed, LINK could reclaim lost ground in one to four 4-hour candlesticks.
What to expect from LINK’s price?
According to the 4-hour chart, most of LINK’s buy signals are getting confirmed. A move that might see the crypto coin recover significant lost grounds. Therefore, it is important to be on the lookout for a new key support level, especially the ones underscored by the IOMAP model.
At such a support level, buyers are most likely to rush for the crypto coin, creating a price upsurge from this 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.