ChainLink (LINK/USDT) Shows Breakout Strength as Bulls Return With Strong Momentum
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LINKUSDT Long-term Analysis: Bullish
Chainlink against the Tether has shown a clear shift in sentiment, breaking above key moving averages and moving firmly into bullish territory. However, this recent rise from the $15 region to $19.37 signals renewed buyer interest after months of sideways and bearish movement.
As it stands, the bulls have taken control, pushing price through the cluster of the Guppy Multiple Moving Averages (GMMA).
Additionally, the Stochastic RSI has crossed above the 80 line, indicating strong bullish momentum. To this end, if this move holds, LINK could be preparing for a sustained rally.
Currently, ChainLink trades at $19.37 with over 37 million traded volumes for the week.
Technical Indicators
Major Resistance Levels: $21.50, $23.90, and $27.80
Major Support Levels: $16.94, $15.91, and $15.00
LINK Technical Analysis
The weekly analysis of ChainLink against the Tether has shown exceptional movement as price exited a prolonged downtrend, crossing above clustered moving averages, and is now trending upwards with momentum.
However, the Stochastic RSI suggests momentum is too high, and an impending short-term pullback might be seen on the track of the pair to the north.
To this end, with the increasing volume, if the pair can sustain above the $16.94 support line, a move towards $23.90 may be seen in the near term.
LINK/USDT Analysis: Building a New Base
On the daily timeframe, LINK/USDT appears to be closing at a high, with strong bullish momentum, confirming the weekly breakout move as the market attempts to establish a new low. However, the direction of the GMMA signals an uptrend as participation increases.
On the other hand, the momentum oscillator shows the momentum has dropped slightly, but the price remains firm, reflecting sustained strength.
Stochastic RSI is in the overbought zone (97.40), but price remains firm, reflecting sustained strength as lines settle in the overbought region.
To this end, if the $18.10 support is not breached, a trajectory towards $23.00 may be spotted very soon.
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