Chainlink (LINK) has been trading within a horizontal range since November 2023. Four days ago, the price of the asset deviated from its high. Despite the significant rebound, LINK is still trading at the lower end of its range. Let’s figure out what to expect from the altcoin next.
Chainlink Is Trading Within a Horizontal Range
Technical analysis of the daily time frame shows that the price of LINK began to rise sharply in September 2023. Since November, the asset has been trading in a horizontal range, which has existed for 77 days. After forming four bearish candles in a row, Chainlink dropped to its lower part.
The daily Relative Strength Index (RSI) is bearish. Yesterday, the indicator dropped below 50 for the first time since September 16, 2023, excluding a deviation in January.
What Analysts Say?
Cryptocurrency traders and analysts have mixed assessments of Chainlink’s future trend. @SatoshiFlipper believes that the asset will bounce off the low of the range and soon rise to $19.
Another idea for $LINK/usdt daily 👀👀 https://t.co/C7P0NLt4IK pic.twitter.com/pbDN82tp5Y
— Satoshi Flipper (@SatoshiFlipper) January 23, 2024
CryptoTony has a similar idea. However, CryptoMoose suggests that LINK will drop to $10 or $11 first.
LINK Price Forecast: Is The Rally Over?
Technical analysis of the 3-day time frame suggests that LINK price will break out of the range. The most likely wave calculation suggests that the asset is in the fourth wave of a five-wave upward movement. If correct, the altcoin will fall 20% to the 0.5 Fibonacci level, which coincides with $11.45. This will also confirm the resistance line of the long-term ascending parallel channel. However, a close above the range high of $17 would mean a local bottom has been reached. Chainlink could then rise 34% to the next resistance level at $19.30.
About Chainlink
The Chainlink network was designed as the first decentralized oracle that aims to provide external data for smart contracts. With its help, you can connect smart contracts with real information – payments or events. Chainlink gives the smart contract access to any external API you want to connect it to. In this way, you can make a payment through a contract to any payment system or banking network.
Experts studied in detail the features of the project – why it stands out, why it is considered promising, what functions and capabilities it provides to users. We will also consider the potential of LINK tokens, methods of buying, selling, and storing them.
The protocol provides a secure connection to smart contracts on any blockchain. Allows you to receive a variety of types of data: market rates, results of sports competitions, weather, etc.
