Chainlink Price Prediction: The rising supply pressure around $11 indicates the LINK price may witness a minor pullback before the next leap
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Chainlink Price Prediction: The Chainlink coin has emerged as a standout performer in the ongoing crypto market recovery. From the low of $7.26 on October 20, the coin price has soared by 51%, touching a current trading value of $11.02. This impressive ascent marks the coin’s escape from a 16-month accumulation phase, signaling the potential for an even more substantial rally ahead.
Overhead Supply Hints Upcoming Pullback
- A wick rejection attached to the daily candle reflects a minor retracement ahead
- Under the influence of the wedge pattern, the LINK price is poised for a further 14%
- The intraday trading volume in the LINK coin is $1.2 Billion, indicating a 1.2% gain.
On October 21, the Chainlink price broke free from a longstanding falling wedge pattern—a trend that had been dictating its price action for more than 500 days. This breakout is a significant milestone and offers a bullish forecast for this altcoin’s future price trajectory. Bolstered by sustained buying interest and improving market sentiment, the coin surged to an intraday high of $11.5.
However, the daily chart over the past three days shows a pattern of higher price rejections near the $11 mark. These long wicks suggest that short-term traders may be taking profits off the table. Should the selling pressure continue, the LINK price may experience a minor pullback before making its next significant move upward.
According to Fibonacci retracement levels, the coin could find strong support at around the $10.2 mark, coinciding with the 23.6% retracement level. Additional support could be seen at the $9.5 level, aligned with the 38.2% Fibonacci retracement.
Taking cues from the completed wedge pattern, the LINK is poised for a rally toward $12.5, which would represent a potential gain of approximately 14%.
LINK vs BTC Performance
Source: Coingape| Chainlink Vs Bitcoin Price
In a comparative analysis, the Bitcoin price has been on a slow yet consistent path to recovery since November 2022. Meanwhile, the chainlink coin experienced only a mild correction during the same period. However, both assets have benefited from the recent uptick in buying pressure, with the LINK price projecting a steeper rally pointing towards aggressive bullish momentum in the asset.
- Bollinger Band: the upswing in the upper boundary of the Bollinger Band indicator reflects the market’s bullish momentum is still active.
- Moving Average Convergence Divergence: The large gap between the MACD(blue) and signal(orange) slope in positive alignment reflects the current market trend is bullish.
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.