Chainlink (LINK) rose 11% against Bitcoin (BTC) in the recent week. This increase suggests LINK is trying to reach a cycle low after a long period of consolidation. Crypto analyst Michaël van de Poppe highlighted this in a tweet:
“Pretty significant start for $LINK with this weekly candle of +11% on the Bitcoin pair. It’s still the cycle low and likely the bottom during this period of consolidation.”
Chainlink’s price against BTC has been volatile over the past two years, with dramatic highs and lows since May 2022. Now, the token is showing signs of a bullish trend by forming higher lows and higher highs, which is a positive indicator.
The chart shows key resistance levels that LINK must overcome for sustained growth. The crucial resistance at 0.0004480 BTC has historically been a strong barrier. Breaking this resistance could lead to more gains and a longer bullish phase.
Chainlink has seen significant changes, with a 155.15% increase from June 2022 to June 2023, followed by a 57.47% decline. The recent positive weekly candle suggests renewed investor interest and could signal a new trend. However, it’s important to watch if the token can keep this upward momentum and break through resistance zones to confirm a long-term trend reversal.
Chainlink Surges Key Resistance
Chainlink is currently trading at $13.74. The token is showing new strength, decisively breaking above the $13 resistance level. This bullish move has sparked optimism, with many analysts predicting a sustained uptrend.
Morecryptoonl, a well-known crypto analyst, identified a key Elliott Wave pattern in LINK’s price action. According to this analysis, the token is currently consolidating within a triangle pattern. While this can indicate sideways movement, a breakout above the $14.85 resistance level could signal a significant momentum shift.
Bullish forces gain confidence from the Relative Strength Index (RSI), sitting at a neutral 38. This suggests that the token is neither overbought nor oversold, leaving room for potential growth. Furthermore, World of Charts predicts a “sustained bullish trend” if it breaks free from its current consolidation pattern. Their optimistic forecast sees LINK reaching heights between $22 and $25.
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