Join the larget crypto conference of 2022 in Bitcoin
Bitcoin
$ 39,046

Chainlink: With Volatility Comes Good Entry Points, Says Tech Analyst

0
(0)

Chainlink (LINK) took a 50% drop from its November high. Is it on sale now, or is it going to drop more?

Covered:

  • Chainlink And Its Volatility
  • Chainlink Charts Analysis
  • What To Expect From Here

LINK Forming a Higher Low Base Compared to Its July Low

Chainlink hasn’t made it easy for HODL’ers in 2021 with its violent swing back and forth, doubling its price along the way and then halving its price just a few weeks later, and vice versa.

But with volatility comes opportunities to find good entries for those who have patience to wait for the perfect moment.

LINK: Monthly 

Because LINK is relatively new, it doesn’t have much data on its monthly chart.

The only important information here is that LINK’s monthly chart shows that the oracle is in an uptrend, and its momentum is rising to the bullish zone.

LINK: Weekly


Weekly trend, however, is trending down. So from the trend following perspective, this wouldn’t qualify as a buy setup. However, it can make a case for an oversold reversal buy.

Recommended: What is Chainlink?

The good news is that LINK is making a near-double bottom and holding above a cluster of support levels just below where it is trading at around $19.

There are some hurdles above, but it would look much better for buyers if LINK can get over this resistance zone.

Link: Daily

On the daily chart, it shows a capitulation by sellers which usually leads to an oversold bounce.

There is a clear divergence between the momentum oscillator (rising) and daily price trend (falling).

Also, squeeze indicator suggests that bearish momentum is getting muted.

Since LINK is an underperformer compared to the overall crypto market, it is likely that LINK will follow the action of the overall market unless there is a catalyst waiting to happen for LINK.

It’d be important to note that LINK is a volatile crypto and having a plan will be important for this particular product.

Key Technical Levels:

  • Support Zone: 17.6 – 19.6
  • Resistance Zone: 22.8 – 29.6
  • Important Intermediate Resistance: 37.87

If LINK can hold above 17.6

  • Price Target 1: 44.6
  • Price Target 2: 52.54

*Not financial advice.

RECOMMENDED: CHAINLINK IS SOARING FINALLY, UP 40 PERCENT IN A WEEK

The post Chainlink: With Volatility Comes Good Entry Points, Says Tech Analyst appeared first on CryptosRus.

Chainlink: With Volatility Comes Good Entry Points, Says Tech Analyst

 

https://cryptosrus.com/chainlink-with-volatility-comes-good-entry-points-says-tech-analyst/feed/

BINANCE - The Exchange with the Most Trading Volume in the Wold

How useful was this post?

Click on a star to rate it!

Average rating 0 / 5. Vote count: 0

No votes so far! Be the first to rate this post.

TELEGRAM
Cryptonews24 Channel Chat