Chainlink Price Prediction As New Found Recovery Targets $8

Chainlink Price Prediction As New Found Recovery Targets $8

A bullish breakout from the overhead resistance will set the LINK price rally above $8; Buy now.

Published 11 mins ago

For the past several weeks, the Chainlink price has demonstrated a horizontal trading pattern, oscillating between the foundational support at $5.75 and an overhead resistance trendline positioned at $6.45. Throughout this consolidation phase, the coin price has rebounded both these levels thrice, underscoring their prominent influence on traders’ psyche. With the crypto market currently exhibiting a bullish trend, the buyers have recently pierced through the upper trendline, hinting at the onset of a renewed upward momentum.

Also Read: BTC Price Set for Rally to $31,000, Key Events to Watch This Week

Can Buyers Prolong the Recovery Rally by Another 18%

  • With an intraday gain of 10%, the LINK price shows high momentum recovery in action
  • A breakout from the downsloping trendline will accelerate the buying pressure
  • The intraday trading volume in the Chainlink coin is $291.5 Million, indicating a 248% gain.

TradingView ChartSource- Tradingview

On September 12th, the LINK price rebounded from the monthly support of $5.75 with an inside-day bullish candlestick pattern. Following this reversal, the coin price catapulted by a commendable 19% within a week, positioning itself at $6.72 as of now. 

With the bullish momentum still aggressive, the investors are set to tackle a declining resistance trendline that has historically dictated the correction course over the previous two months. A bullish breakout over this falling trendline would solidify the market’s confidence in a prolonged bullish trajectory. 

Upon achieving this breakout, the traders can anticipate the LINK price to soar by roughly 18%, aiming for the $8 mark and eventually extending towards $8.45.

Can LINK Price Fall Back to $5.75

Over the past two months, the LINK price has witnessed dynamic resistance from the downsloping trend. At this juncture, traders tend to encounter a resurgence in selling momentum evidenced by the two reversals in the daily chart. Should the coin price exhibit a downturn from this trendline, and in the process, slip below the freshly surpassed $6.45 level, it might signal a continuation of the correction trend, potentially retracing back to its established support at $5.75.

  • Bollinger Band: The coin price challenges the upper band of the Bollinger band indicator reflecting that the buying activity is aggressive 
  • Relative Strength Index: The daily RSI slope rising above 60% indicates suitable bullish momentum for a directional recovery.

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Sahil is a dedicated full-time trader with over three years of experience in the financial markets. Armed with a strong grasp of technical analysis, he keeps a vigilant eye on the daily price movements of top assets and indices. Drawn by his fascination with financial instruments, Sahil enthusiastically embraced the emerging realm of cryptocurrency, where he continues to explore opportunities driven by his passion for trading

The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.


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