Chainlink Holds Above A Historical Price Level And Could Resume The Upward Trend

May 02, 2022 at 08:51 // Price
Coin Idol
The market may rise to regain

The price of Chainlink (LINK) is in a downtrend as the cryptocurrency continues its downward movement. Today, the altcoin has fallen to the low of $11.83 as the bulls are buying the dips.

Chainlink (LINK) price long-term analysis: bearish

The altcoin is approaching the low of $11.43, the historical price level from February 24. LINK is likely to find support above the $11.43 price level. 

On February 24, the altcoin dropped sharply and retreated. Meanwhile, Chainlink is moving above the $11.83 support. LINK/USD will continue a sideways movement between $11.83 and $15 if the current support holds. 

However, if the bulls overcome the resistance at $15, the price of LINK will rise above the moving averages. This will cause the cryptocurrency to resume its uptrend if the bullish momentum continues. The market will rise to regain the high of $18. 

Chainlink (LINK) Indicator Reading        

Chainlink has fallen to level 32 on the Relative Strength Index for the 14 period. The market has reached the oversold area. This is an indication that the current downtrend has reached bearish exhaustion. Likewise, the altcoin is below the 20% area of the daily stochastic. The market is considered oversold when buyers appear in the oversold region. 


Technical Indicators: 

Key resistance levels - $55 and $60.

Key support levels - $20 and $15

What is the next step for Chainlink (LINK)?

Chainlink has been in a downtrend. It has also fallen significantly to the downside. Meanwhile, on April 26, the downtrend; a retraced candlestick tested the 61.8% Fibonacci retracement level. The retracement suggests that LINK will fall to the Fibonacci extension level of 1.618 or $11.39. The price action shows that the altcoin fell to a low of $11.83 and then started to trend upwards again.


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.

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