Chainlink (LINK) has seen a notable rise in price over the past week, defying the increasing supply pressure that typically exerts downward force on cryptocurrencies. Despite these challenges, LINK price has managed to maintain a slow but steady rise, driven by the influence of an ascending channel pattern.
According to the latest data from CoinGecko, Chainlink is currently trading at $12.44, marking a 1.3% gain over the past 24 hours and a remarkable 12.9% rally over the past seven days. This upward trajectory has many investors and analysts wondering if this rally is likely to persist or if a correction is on the horizon.
Ascending Channel Pattern Supports Chainlink Rally
According to LINK Price Chart, LINK buyers could find a strong support level at $10.75. This support trendline is essential, as it serves as protection against a strong correction. As long as this trendline holds, it suggests that LINK could avoid a sharp decline. A rebound from this level could allow buyers to challenge immediate resistance at $12.6, paving the way for an advance towards the $14.65 to $15 price range.
However, amid the price action, the cryptocurrency community is abuzz with news of a substantial Chainlink transfer, meticulously followed by Whale Alert. A staggering 3.8 million LINK tokens, worth approximately $46 million, were moved between wallets of unknown origin. Such large-scale transfers within the crypto space often trigger increased scrutiny, as they can potentially foreshadow significant events affecting the market, including large sell orders or liquidity provisions.
– Whale Alert (@whale_alert) November 5, 2023
Given these developments, the future of Chainlink’s price trajectory remains uncertain. The ascending channel trend and recent gains indicate some degree of bullish sentiment, but it is important to remain cautious as the cryptocurrency market is known for its volatility.
A crucial level for the future of LINK
LINK’s ability to maintain its rally and potentially breaking through the $12.6 resistance level will be closely watched by traders and analysts. It is essential to keep an eye on the $10.75 support level as a breakout could signal a change in the current trend. Additionally, large transfers like the one observed can portend influential market actions on the horizon.
Chainlink (LINK) is showing resilience in the face of supply pressure, and its performance over the coming days will be a focal point for the crypto community. Although the current recovery is promising, investors should exercise caution and remain alert to events that could move the market.
(The content of this site should not be construed as investment advice. Investing involves risk. When you invest, your capital is subject to risk).
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