Chainlink Price Strikes The Multi-Month Resistance; Is It Safe To Hold?

Despite the last few day’s sell-off in the crypto market, the Chainlink price managed to sustain above the $8 support. This newly acquired support bolsters buyers to break the overhead range resistance of $9.4. Moreover, the rising volume activity as the price approaches the resistance indicates a strong possibility for a bullish breakout

Key points: 

• A bullish breakout from $9.4 resistance will open an 18% growth opportunity for chainlink price
• The rising RSI slope indicates a sustained buying rally
• The intraday trading volume in the LINK coin is $1.7 Billion, indicating a 207% gain.

Source- Tradingview

The chainlink coin price has strictly followed a range-bound movement over the past six months. The $9.4 and $5.7 are extreme ends of this range and restrict any trading activity beyond them. Furthermore, amid the recent recovery in the crypto market, the altcoin jumped from $6.6 support to $9.4 resistance. This bullish recovery registered a 42% growth over the past three weeks and encouraged buyers to rechallenge the range resistance($9.4).

Moreover, with the US market gaining strong today, the crypto market offset the early-day sell-off and tries to sustain higher ground. As a result, the Chainlink price, which dropped nearly 10% today, reverted immediately and showed a 3% gain by the press time. 

The coin currently trades at $9.17 and shows a breakout attempt from the $9.4 resistance. A daily candle closing above the aforementioned resistance will release the trapped bullish momentum and provide a long entry opportunity.

This development will accelerate the bullish momentum and drive the prices 18.5% higher to hit the $11 resistance. 

Conversely, if the prices remain below the $9.4 resistance, the risk of a bearish reversal remains intact.

Technical Indicator

EMAs: the 20, 50, and 100 EMAs accumulated at the $8 level give some additional support to maintain a bullish rally. However, the 200-day EMA still sides on the selling side.

MACD indicator: the rising gap between the MACD and signal line indicates growing bullish momentum and sustained rally.

Chainlink Coin Price Intraday Levels

• Spot rate: $9.1
• Trend: Bullish
• Volatility: High
• Resistance levels- $9.4 and $11
• Support levels- $8 and $6.6