Chainlink Fluctuates in a Range as Bulls and Bears Show Indifference

The price of Chainlink (LINK) is in a downward correction. The cryptocurrency's price has fluctuated between $17.20 and $23 since the price collapsed on December 4.

During the slump, the altcoin plummeted to a low of $15 as bulls bought the slump. Over the past two weeks, the bulls have defended support at $17. The bears retested support three times but were unable to break it. In July, $17 support was breached as Chainlink fell to a low of $13.43 on July 20. 

The cryptocurrency recovered from the $13 support and rose to a high of $36. Today, it is unclear whether the current support will hold. The altcoin could fall to a low of $15 if sellers break the current support. On the upside, a break above resistance at $23.00 would take the altcoin above the moving averages. Meanwhile, LINK is on the rise, reaching a high of $19 at press time. 

Chainlink indicator reading

Chainlink is rising and has reached 42 on the Relative Strength Index for period 14. The altcoin is still in the downtrend zone and could fall. The moving averages are sloping south, indicating a downtrend. Chainlink is in a bullish momentum above the 42% area of the daily stochastic. This suggests that the market has developed bullish momentum again.

Technical indicators:  

Major Resistance Levels - $55 and $60

Major Support Levels - $20 and $15 

What is the next move for Chainlink?

Chainlink is in a range-bound move. The cryptocurrency is moving between $17.20 and $23. The altcoin will move when the range bound levels are broken. Meanwhile, a downtrend started on November 28. A retracement candlestick tested the 78.6% Fibonacci retracement level. The retracement suggests that LINK will fall to the 1.272 Fibonacci extension level or the $19.00 high.

Disclaimer. This analysis and forecast are the personal opinions of the author and are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by Coin Idol. Readers should do their own research before investing funds.