Chainlink Makes Positive Strides but Fails to Make it Over $10 Hurdle

In the last 48 hours, the price of Chainlink (LINK) has turned positive as the bulls have crossed the 21-day line and the 50-day line SMAs. However, buyers fail to keep the price above the 50-day line SMA.

Chainlink (LINK) price long-term analysis: bearish

The altcoin has lost the opportunity for an upward momentum. LINK The price of the altcoin is declining and approaching the 21-day line SMA. 

The cryptocurrency is likely to move between the moving average lines if the price finds support above the 21-day line SMA. If Chainlink falls below the 21-day line SMA, the downtrend will resume. If the 21-day line SMA provides support, the altcoin will be forced to move within the trading range. Meanwhile, LINK /USD is trading at $7.96 at the time of writing.

Technical Indicators: 

Key resistance levels - $55 and $60

Key support levels - $20 and $15

Chainlink (LINK) Indicator Reading  

Chainlink is at level 49 on the Relative Strength Index for period 14, indicating that there is a balance between supply and demand. The price of the cryptocurrency is between the moving averages, which indicates a fluctuating price movement. LINK is below the 80% range of the daily stochastic. The altcoin is in a bearish momentum.

What is the next move for Chainlink (LINK)?

Chainlink is in an upward correction. The downtrend has eased after the May 12 price drop. The cryptocurrency has fallen back below the 50-day moving averages. Meanwhile, the May 12 downtrend has shown a candlestick body testing the 78.6% Fibonacci retracement level. The retracement suggests that LINK will fall to the level of the 1.272 Fibonacci extension, or $4.85. From the price action, Chainlink retested the Fibonacci extension and reversed.

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.