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- Link token breaks the cage pattern and exits the congestion zone.
- The bulls are gaining momentum in the last trading session.
Chainlink token is attaining bullishness in the last session, gaining 8%. The bulls are achieving momentum, breaking the barriers of $7.500. The token gave a much-awaited move, now breaking the consolidation pattern and willing to go higher near its resistance mark of $8.000. However, the LINK token is now attaining strength and has given conviction from its breakout with a volume surge. The buyers pulled up the price above the congestion zone, as the price had already waited for a long time in the tight, narrow range near $7.000. The volume surge of buyers makes a perfect opportunity this time to beat down the sellers.
When writing, the LINK token trades at $7.75, gaining 4.34% in the intraday session. Moreover, the trading volume surged by 50%, showing the investors built up heavy traction.
LINK shows breakout of consolidation range
On the 4-hour chart, LINK token leave the congestion range and trade above the bars with a volume surge. The bulls gained traction in the last session and gave a fresh breakout above the resistance of $7.500. The price action shows that bulls attained a new momentum with the addition of a long buildup from the buyers in the last trading session. The lower trendline was respected by the buyers who were getting support at the base mark of $7.000 multiple times in the past days.
As per the price chart, bulls tried to break the cage multiple times but couldn’t break the higher neckline and faced rejection. This time addition in volume brings the perfect opportunity for buyers to break the range.
On the short-term charts, the Chainlink token maintains the grip above the resistance mark of $7.500, and traditional indicators favor bulls. The RSI curve is floating above the overbought zone, and a positive crossover was noticed in the past trading session. The positive sentiments in the token raise the price above its 200-day EMA.
As per the Fib retracement, the LINK token is above the bar of 61.8%, indicating the bulls strength and the short covering move. The token completed its correction and slow action in the past few days, and now it is achieving gains with investors’ interest. The buyers continue to pull the token, and the price has stayed above the neutral range of 38.2% for a long time and gained traction, breaking the range into a breakout.
The MACD indicator indicated a bullish crossover in the last few sessions and formed green bars on the histogram, conveying the bullishness of the token.
Conclusion:
Chainlink token is in the bullish zone and in the hands of buyers, indicating strength. Moreover, price action delivers more action that has yet to come in the upcoming sessions.
Technical Levels:
Support Levels: $7.000 and $6.700
Resistance Levels:$8.180 and $8.500
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational ideas only. They do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.
Andrew is a blockchain developer who developed his interest in cryptocurrencies while pursuing his post-graduation major in blockchain development. He is a keen observer of details and shares his passion for writing, along with coding. His backend knowledge about blockchain helps him give a unique perspective to his writing skills, and a reliable craft at explaining the concepts such as blockchain programming, languages and token minting. He also frequently shares technical details and performance indicators of ICOs and IDOs.
