- Chainlink price trades above the descending parallel channel price range at $22.59.
- LINK could take a breather before the bullish leg continues.
Chainlink price opened the week on July 26 trading in the green and rallied 20% to close the day on Tuesday around $19.0. This rally saw LINK flip the $18.97 and the 50 Simple Moving Average (SMA) from resistance to support. Link took a breather on Wednesday trading in the red to close the day at around $19.07.
However, the bulls were still in control of the market were determined to push the price beyond the $22 psychological level. LINK rallied 19.20% to close the week at around $22.74 on Sunday.
Rising by approximately 36% over the last seven days was the week’s upside.
How does the week ahead look for Chainlink? Let’s find out.
- Are you seeking to trade Chainlink? This guide on how to buy cryptocurrency might be helpful.
Chainlink Price Could Take Breather Before Relaunching
At the time of writing, Chainlink price is trading in the red around the $22.59 mark. LINK appears to be battling immediate resistance at the $22.80 area as bears attempt to reverse the gains made over the last trading session.
The four-hour chart shows that the LINK price broke out of the descending parallel channel price range and turned a major resistance level at $$21.80 into support.
This break out pushed the Chainlink price past the $22 mark on Friday. There was a slight pull-back on during the weekend trading sessions but the support at $21.80 held as week closed just above the $22 mark.
A similar pull-back could happen but this time the bulls are counting on the support at the $22 psychological level to hold before making a launch. Note that a session’s closure below the $22 mark could see link slump to retest the $21.80 major support zone before making another recovery.
This pull-back is accentuated by more crypto signals on the four-hour chart. For example the parabolic SAR just flipped negative indicating a bearish run in the near term. Moreover, the MACD’s movement below the signal and the RSI’s dive towards the midline indicate that a correction to the Chainlink price will occur before the bullish leg continues.
Chainlink Price (LINK/USD) Four-Hour Chart
LINK Could Reach These Levels
Chainlink price prediction for long-term is generally bullish. Note that LINK currently trades above a strong support zone at $21.80 and the trend has been generally upward since July 21.
Also realise that the LINK price has broken above the descending channel price range which is a bullish sign. This bullish narrative is accentuated by the MACD’s position above the zero line.
Note that a daily closure above the immediate resistance at $22.9 could relaunch LINK’s bullish momentum towards the $25 zone.
Looking to buy or trade Chainlink now? Invest at eToro!
Capital at risk
Share
Nancy Lubale
