Chainlink’s LINK price remains within the $7.30 support area. A break out of the $7.50 resistance area could start a new rally for the price.
- The Chainlink token price is showing positive signs above $7.30 against the US dollar.
- The price is trading near the $7.40 level and above the 100 simple moving average (4-hours).
- On the 4-hours chart of the LINK/USD pair, there is a major descending channel with resistance forming near $7.50 (data source from Kraken).
- The price may gain bullish momentum above the $7.50 resistance zone.
Chainlink (LINK) price hike
After a strong rally, LINK price faced sellers near the $7.90 area against the US dollar. Unlike Bitcoin or Ethereum, the highest price was formed near $7.91 and the price began to adjust downward.
There was movement below the $7.60 and $7.50 levels. The price fell below the 50% Fib retracement level, rising from the $6.932 swing low to the $7.915 high. The price also soared below $7.40. However, the bulls are active near the $7.30 support level.
LINK is trading above the 61.8% Fib retracement level rising from the $6.932 swing low to the $7.915 high. It is also above the $7.40 level and the 100 simple moving average (4-hours).
Source: LINKUSD on TradingView.com
It currently faces resistance near the $7.50 level. There is also a major descending channel with resistance forming near $7.50 on the 4-hours chart of the LINK/USD pair. The first major resistance is near the $7.685 area. A clear break above $7.685 could begin a new rally towards the $7.90 and $8.00 levels. The next major resistance is near the $8.20 level, a break above which could lead the price to revisit $8.50.
Are there more losses?
If Chainlink’s price fails to rise above the $7.50 resistance, the downtrend could extend. Initial support for the downside is near the $7.30 level.
The next major support is near the $7.15 level, below which the price may test the $7.00 level. Any further losses could push the price towards the $6.85 level in the near term.
technical indicators
4-Hour MACD – The MACD for LINK/USD is losing momentum in bearish territory.
4-Hour RSI (Relative Strength Index) – The RSI for LINK/USD is now close to the 50 level.
Key support levels – $7.30 and $7.15.
Key resistance levels – $7.50 and $7.685.