Chainlink Price Analysis LINK / USD: Bucking The Trend
Chainlink is holding onto recent trading gains as the cryptocurrency continues to buck the bearish trend currently sweeping through the broader digital currency market.
The LINK / USD pair is one of the few digital assets inside the top fifty by market cap that is still technically bullish over both the short and the medium-term.
The cryptocurrency trades around fifty percent higher since the start of the month, and trades a whopping seven-hundred percent higher since the beginning of 2019.
Going forward, a series of bullish inverted head and patterns appear to be predicting that the LINK / USD pair is likely to rally back towards its 2019 trading peak.
The four-hour time frame is highlighting that the LINK / USD pair could gain a further thirty percent in value if buyers move price above the $3.00 resistance level.
The daily time frame highlights that a much larger inverted head and shoulders pattern could form, with the neckline of the bullish pattern located around the $4.60 resistance level.
The overall upside projection of the pattern would take the LINK / USD pair towards the $8.00 level. It is also noteworthy that the daily RSI indicator is far from being oversold and continues to point to further medium-term gains ahead.
Sentiment
According to the latest sentiment data from TheTIE.io, the short-term sentiment towards Chainlink is neutral, at 56.00 %, while the overall long-term sentiment towards the cryptocurrency is bullish, at 66.00%.
LINK / USD H4 Chart by TradingView
Upside Potential
The four-hour time frame highlights that the LINK / USD bulls need to move price above the $3.00 resistance level to trigger a bullish inverted head and shoulders pattern with a thirty percent upside projection.
The daily time frame shows that if bulls rally price towards the $4.60 level a much larger inverted head and shoulders pattern with a $3.50 upside projection will form.
Downside Potential
The four-hour time frame shows that a move below the $2.45 level would be bearish for the LINK / USD pair in the short-term. The LINK / USD will lose its short-term bullish status if price trades below the $2.15 level.
The daily time frame is currently showing that sellers need to move price below the $1.70 support level to negate the LINK / USD pair’s medium-term bullish bias.
Summary
Chainlink has retained its short and medium-term bullish bias, despite the broader cryptocurrency market coming back under heavy downside pressure.
According to the upside projection of the bullish pattern on the four-hour time frame, a sustained breakout above the $3.00 level could propel the LINK / USD pair towards the $4.60 level.
The LINK / USD pair is one of the few digital assets inside the top fifty by market cap that is still technically bullish over both the short and the medium-term.
The cryptocurrency trades around fifty percent higher since the start of the month, and trades a whopping seven-hundred percent higher since the beginning of 2019.
Going forward, a series of bullish inverted head and patterns appear to be predicting that the LINK / USD pair is likely to rally back towards its 2019 trading peak.
The four-hour time frame is highlighting that the LINK / USD pair could gain a further thirty percent in value if buyers move price above the $3.00 resistance level.
The daily time frame highlights that a much larger inverted head and shoulders pattern could form, with the neckline of the bullish pattern located around the $4.60 resistance level.
The overall upside projection of the pattern would take the LINK / USD pair towards the $8.00 level. It is also noteworthy that the daily RSI indicator is far from being oversold and continues to point to further medium-term gains ahead.
Sentiment
According to the latest sentiment data from TheTIE.io, the short-term sentiment towards Chainlink is neutral, at 56.00 %, while the overall long-term sentiment towards the cryptocurrency is bullish, at 66.00%.
LINK / USD H4 Chart by TradingView
Upside Potential
The four-hour time frame highlights that the LINK / USD bulls need to move price above the $3.00 resistance level to trigger a bullish inverted head and shoulders pattern with a thirty percent upside projection.
The daily time frame shows that if bulls rally price towards the $4.60 level a much larger inverted head and shoulders pattern with a $3.50 upside projection will form.
Downside Potential
The four-hour time frame shows that a move below the $2.45 level would be bearish for the LINK / USD pair in the short-term. The LINK / USD will lose its short-term bullish status if price trades below the $2.15 level.
The daily time frame is currently showing that sellers need to move price below the $1.70 support level to negate the LINK / USD pair’s medium-term bullish bias.
Summary
Chainlink has retained its short and medium-term bullish bias, despite the broader cryptocurrency market coming back under heavy downside pressure.
According to the upside projection of the bullish pattern on the four-hour time frame, a sustained breakout above the $3.00 level could propel the LINK / USD pair towards the $4.60 level.
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