Follow Us

Chainlink Price Resonates Inside A Triangle Pattern, Further Consolidation Expected

Share on facebook
Share on twitter
Share on linkedin

Share

Chainlink
Share on facebook
Share on twitter
Share on linkedin
  • LINK is moving in a downtrend after creating a new 52 weeks high of $44.4 and is resonating inside the symmetrical triangle pattern.
  • Currently, the coin price has recently taken support from the 50 EMA with long tails in the daily timeframe, implying the uptrend might continue.
  • The LINK/BTC pair is trading at 0.0006922 with an intraday up move of 5.27%.

LINK coin price fell more than 30% after creating a new 52-week high of $44.4 and is now rising again by forming a morning star pattern near the support level of $31.7; currently, it is holding just above 50 EMA in the daily timeframe but the resistance trendline might reverse the direction again.
The buying volume over the daily chart is declining to indicate a price reversal. The reversal of price might lead to continued resonance inside the pattern. The live LINK price today is $37.69 with a 24-hour trading volume of $1,431,770,302. The coin price has increased 5.58% in the last 24 hours. The live market capitalization of the coin is $15,773,558,322.

Symmetrical triangle pattern sustains

Source – tradingview

LINK had made a recent double bottom pattern in the 4-hour timeframe to boost the price by more than 25%. However, the coin price is encountering resistance from the correction line, which has shoved the price back down almost five times now. A reversal will lead to another 15% fall.

The coin price has been consolidating inside the pattern and has not given any significant move on either side. The support level of $31.7 has lifted the price back up, and it might play an important role in the expected breakout. The level of $31.7 is the immediate support, whereas the immediate resistance level is $40.6.

The recent bullish movement has resulted in the price crossing over the 50 EMA (yellow) & 200 EMA (white), implying bullishness, but the resistance trendline has managed to pause the up move for now and might even drive it back down.

The RSI (bearish) indicates slight bearishness while trading at 60 and heading even further into the overbought zone.
The ADX indicates a slower momentum as it is trading at ten, and the slope in ADX is decreasing, implying a loss of momentum.

Conclusion – LINK coin price has recently exhibited a breakout of a double bottom pattern suggesting the start of an uptrend. However, the symmetrical triangle pattern is still maintained as the correction line has managed to pause the trend and might reverse it as well.

Loss of momentum, along with the bearishness showcased by RSI, has managed to slow down the bulls. Hence, early traders should enter only after retest confirmation. But the breakout is still quite a far possible chance, and the price could resonate furthermore inside the pattern.

Support- $31.7 along with major EMAs

Resistance- $40.6

Leave a Reply

Your email address will not be published. Required fields are marked *

Download our App for getting faster updates at your fingertips.

en_badge_web_generic.b07819ff-300x116-1

We Recommend

Top Rated Cryptocurrency Exchange

-
00:00
00:00
Update Required Flash plugin
-
00:00
00:00