Skip to content

Chainlink: Can 7% Pump Trigger New Wave of Bullish Gains?

New price action on LINK's daily timeframe could usher new wave of bullish gains.

Table of Contents

Chainlink’s (LINK) upward price movement stalled at the $16.5 resistance level with buyers unable to break the key resistance. Although price has traded between the $12.7 to $16.5 range, bulls have refused to give up their advantage with buyers still very active and refusing to allow price to go below the $12.7 range low.

This bullish stance has remained despite the shift in sentiment in the overall crypto market. As such, this pump could trigger new gains for bulls.

Can Buyers Break the Bearish Resistance at $16?

The bearish stronghold at $16 has resisted the bullish attempts for new heights on multiple occasions. Yet, buyers could leverage new found momentum to scale through the price hurdle.

Analyzing LINK’s price action on the daily timeframe showed that the altcoin closed bullish over the past three days. The last time this price action was seen on the daily timeframe was in November 2023 and LINK went on a 61% run from $10.1 to $16.5.

LINK/USDT on TradingView (Daily Timeframe)

A repeat of this bullish move from $14 will see LINK surge to the $18 to $20 price zone. This would result in 35% gains for buyers. With price close to the support zone of $12.7, buyers at the current market price will experience limited exposure to risk, as losses can be cut short on a break of the support level, in the event of a price reversal.

Furthermore, the in-chart indicators posted bullish signals. The RSI (Relative Strength Index) moved to the neutral 50 level after an earlier dip. Similarly, capital inflows as measured by the Chaikin Money Flow (CMF) continued to hover around the zero mark.

This hinted at the willingness of buyers to commit funds, if the bullish price action on the daily timeframe continues.

Combined, another bullish candle close for LINK on the daily timeframe would strengthen the bullish sentiment and could lead to solid gains.

Disclaimer: This article does not constitute trading, investment, financial, or other types of advice. It is solely the writer’s opinion. Please conduct your due diligence before making any trading or investment decisions.


What is the Fair Value of Bitcoin?

What is the Fair Value of Bitcoin?

According to two staff members of the European Central Bank, Bitcoin is still a harmful phenomenon with no inherent worth, even if it has been approved as an asset to be included in ETFs in the US. The OG cryptocurrency just crossed its two-year high today, sitting at $56,287

ETF Hype Pushes Ether to 2-Year Highs

ETF Hype Pushes Ether to 2-Year Highs

Anticipation for US spot crypto ETFs shifts focus to Ethereum, with investors eyeing Ether's outperformance over Bitcoin amid rising demand and potential legal challenges, despite regulatory hesitations and concerns over ecosystem centralization.