Analysis

Charted: Chainlink (LINK) Close Above $13.1 Could Trigger Sharp Rise

Chainlink (LINK) seems to be following a nice uptrend above $ 12.00. There are high chances of more gains once the bulls manage to clear the $ 13.10 and $ 13.50 resistance levels.

  • Chainlink token price is trading in a positive zone above the $ 12.00 support against the US dollar.
  • The price is facing hurdles near $ 13.10, but it is well above the 100 simple moving average (4-hours).
  • There was a spike above yesterday’s highlighted contracting triangle with resistance near $ 12.80 on the 4-hours chart of the LINK/USD pair (data source from Kraken).
  • The price is likely to start another rally if there is a clear break above $ 13.10 and $ 13.50.

Chainlink (LINK) Sighting More Upsides

Yesterday, we discussed how chainlink (LINK) gained pace above the $ 11.00 resistance zone to move into a positive zone. The price eve settled above the $ 12.00 resistance and the 100 simple moving average (4-hours).

However, the price is still struggling to clear the $ 13.10 resistance zone. A high is formed near $ 13.08 and the price is currently correcting lower. It seems like there was a spike above yesterday’s highlighted contracting triangle with resistance near $ 12.80 on the 4-hours chart of the LINK/USD pair.

The pair is now trading near the broken triangle zone at $ 12.85. It is also testing the 23.6% Fib retracement level of the recent move from the $ 12.04 swing low to $ 13.08 high.

Chainlink (LINK) Price

Source: LINKUSD on TradingView.com

The first major support is near the $ 12.55 level. It is close to the 50% Fib retracement level of the recent move from the $ 12.04 swing low to $ 13.08 high. The next major support is near the triangle lower trend line at $ 12.25.

On the upside, the price is facing a major hurdle near $ 13.10. A clear break and close above $ 13.10 could open the doors for more gains above the $ 13.50 resistance level. The next major resistance is near $ 13.80, above which the price could even clear $ 14.00.

Downsides Limited?

An initial support for chainlink’s price is near the $ 12.55 and $ 12.50 levels. The main support is forming near the $ 12.25 and $ 12.20 levels.

If there is a downside break below the $ 12.20 support zone, there is a risk of a bearish move towards the $ 11.50 support level and the 100 simple moving average (4-hours).

Technical Indicators

4-hours MACD – The MACD for LINK/USD is slowly gaining momentum in the bullish zone.

4-hours RSI (Relative Strength Index) – The RSI for LINK/USD is now well above the 50 level.

Major Support Levels – $ 12.55, $ 12.25 and $ 12.20.

Major Resistance Levels – $ 13.10, $ 13.50 and $ 14.00.

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Technical analysis – NewsBTC

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