Chainlink (LINK) experienced an 11.55% increase in value, reaching $18.73. Analysts predict $22 as a critical resistance level for the cryptocurrency. November has been favorable for the crypto market, with Bitcoin (BTC) and Ethereum (ETH) hitting significant milestones of $99.6K and $3.5K, respectively. BTC’s rally has fueled gains across altcoins, pushing them to new highs.
LINK has been particularly resilient, surging over 68% this month. Analysts note that its current price pattern resembles past trends that led to substantial gains. If LINK surpasses the $22 resistance level, it may move toward $25 or higher.
Currently, LINK is trading at $18.73 after climbing from a low of $16.25 earlier in the day to a high of $18.98. An analyst has identified $22 as a pivotal resistance point. If breached, this could pave the way for LINK to achieve new highs. The presence of a significant number of “in the money” addresses at the current price indicates strong bullish sentiment.
Can LINK Maintain Its Rally?
A four-hour price chart suggests an upward trajectory for LINK. Sustained gains beyond the current level could lead to a test of the $23.26 resistance. Should LINK hold steady, it may climb to even higher levels. However, if momentum falters, the asset could test a key support level around $14. A drop below this support might result in further declines.
Technical indicators support a bullish outlook for LINK. The Moving Average Convergence Divergence (MACD) line sits above the signal line, suggesting a potential uptrend. Additionally, the Chaikin Money Flow (CMF) indicator is at 0.19, indicating positive market demand. Despite this, daily trading volume has dropped by over 13%, settling at $1.22 billion.
Meanwhile, the daily Relative Strength Index (RSI) at 68.34 suggests that LINK may approach overbought territory. The short-term 9-day moving average surpassing the 21-day moving average also underscores bullish momentum.
Key Takeaways
- LINK has shown a strong rally, rising 11.55% in 24 hours and 68% over the month.
- Breaking the $22 resistance level could propel LINK toward $25 or more.
- Key support stands at $14, with a potential downside if breached.
- Technical indicators, including MACD and CMF, point to bullish momentum.
Disclaimer: The views in this analysis are for informational purposes only and do not constitute investment advice. Conduct thorough research before investing.
