Disclaimer : The results of the following analysis attempt to forecast the evolution of Chainlink prices until the last week of July

The chain link was not launched until June 2019. However, a few weeks after its first anniversary, the price of the piece on the charts seems to be unstoppable. LINK’s recent movements are a continuation of the recovery it has been experiencing since the crash of the major crypto-market on March 12. At the time of writing, the price of Chainlink has reached a new historical high for the cryptocrown.

At the time of going to press, Chainlink was trading at $6.2, with the crypto recording a market cap of $2.1 billion. In the last 24 hours, the price of LINK has also seen a slight decrease of 0.5%, after noting a 24-hour trading volume of $788 million.

Table of chain links over 1 day

Source: LINK/USD, TradingView

According to Chainlink’s 1-day chart, the price has been in an upward channel formation since April, with price candles having burst out of the formation a few days ago. Since July 6, the price has continued to soar, noting an ATH shortly thereafter. However, the last 12 hours have seen the price of LINK encounter some resistance, with crypto trading at a lower price point than yesterday.

At the time of going to press, the price of Chainlink could not break through the resistance at $6.6. However, as the price was in upward channel formation and due to its strong resistance, the price is likely to retrace to its next support at $4.8. In the unlikely scenario that any upward pressure disappears, Chainlink could fall back to its early June levels at around $4.2, which would be another important support for the play.

Source: LINK/USD, TradingView

In addition, the MACD indicator has recently experienced a bullish crossover, with the MACD line crossing ahead of the Signal line on the charts. The Relative Strength Indicator, on the other hand, was heading towards the oversold zone after having been in the overbought zone for a while, which gave the price of the coin a new boost.

Source: CoinMetrics

It is interesting to note that the correlation between Chainlink and Bitcoin has dropped over the last three months and, like many other altcoins, the last few days have indicated that for pieces like Chainlink, a bull run may be possible, independent of the masterpiece.

Conclusion

The price of chain links was in upward formation for more than 3 months, after which an upward price break occurred. However, the price quickly encountered resistance at around $6.6 after recording an ATH.

In the coming weeks, if the bulls can’t push the price higher, Chainlink’s price should move towards the $4.8 support that remains its likely target. However, in the days ahead, if the piece is able to break the resistance, a near-term rise cannot be ruled out.

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2020-07-09