- Chainlink shallow recovery hits a dead end at $2.80 as bears take back control.
- The 61.8% Fib level is in line to offer support in the event declines extend beneath $2.6.
Chainlink (LINK) and Stellar (LINK) are the selected cryptocurrencies still flying the bull flag pattern. The majority of the major cryptos are struggling to avoid diving below key support areas. As discussed earlier today, Stellar is up 8% in the last 24 hours. On the other hand, LINK has corrected higher 4.3%.
The tow-hour chart shows Chainlink trading above the trendline support. The ascending trendline has been significant in the recovery witnessed over the last week. The cryptoasset tested $3.2 but formed a high at $3.17. A correction from the monthly high embraced the support offered by the 61.8% Fib level taken between the last swing high of $3.17 to a swing low of $1.52.
The shallow recovery hit a dead end at $2.8 but immediate support is provided by 100 Moving Average (MA) currently at $2.7. The Relative Strength Index (RSI) is retreating even before hitting overbought levels. This signals rising selling pressure, besides the 50 MA has crossed below the long-term 100 MA.
LINK/USD two-hour chart
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