Chainlink (LINK) is gaining traction as major investors increase their purchases, signaling potential upward movement. Despite the recent price depreciation, the cryptocurrency shows signs of technical power and demand on the markets. Analysts are watching closely for signs that might lead to a bullish breakdown.
At the time of writing, LINK is trading at $23.31, with a 24-hour trading volume of $1.67 billion and a market capitalization of $15.95 billion. The token decreased by -5.20% drop over the past 24 hours, reflecting recent market volatility.
Popular crypto analyst Ali Martinez highlighted that whales purchased nearly 2 million LINK tokens over the last 48 hours. This is a large accumulation and indicates investors are building up for a potential price rebound, signaling confidence in the token despite the recent dip.
Meanwhile, analyst CRYPTOWZRD noted that LINK recently closed down, but its Bitcoin pairing (LINKBTC) is forming a small falling-wedge pattern. Breakout of the wedge may induce a sudden bullish upsurge, with the next significant resistance being $30.
“Closely observing the intraday charts will be important, especially if Bitcoin experiences huge price actions during the day,” said CRYPTOWZRD while predicting the near-term potential of LINK.
With rising whale movement and the prospect of a technical breakout, Chainlink may be due for a major bounce back. Investors and crypto enthusiasts are monitoring the token closely, wondering if LINK is up for breaking through resistance levels and gaining speed over the next few days.
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Chainlink is showing pressure indications with the RSI at 40.62, close to the oversold region, signaling weakening purchase power. The MA Ribbon is also indicating indecisiveness with the key averages bunched up around 23.51–24.05, offering stiff resistance down the road.
The MACD also favors a bearish scenario with the signal line at -0.00960 below the histogram, showing growing sell activity. Momentum turned red after recent gains and shows sellers are back in control. Unless momentum makes a turn upwards very shortly, LINK may remain pegged below resistance.
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