Key Insights
- •Chainlink price has experienced a nearly 16% decline over the past month, prompting market discussions.
- •A prominent analyst has identified a significant support trendline for LINK price that has been robust since 2023.
- •This expert suggests that Chainlink could potentially rally to $20 in the short term, with the possibility of breaking out to $50.
Chainlink Price Tests Critical Support Level
Chainlink price is currently testing a critical support level, which analysts are emphasizing as a vital point to maintain in the near future. According to experts, trading above this support level would validate its potential upward trajectory, enabling it to challenge a key resistance level ahead.
Furthermore, a successful breach of this resistance could propel the LINK price to as high as $30. While these predictions have captured the attention of traders, they have also introduced uncertainty regarding the asset's future movements.
For context, the cryptocurrency has seen a decline of over 2% in the last 24 hours, coinciding with a broader retreat in the cryptocurrency market. The ongoing volatility in digital assets has fueled doubts about the anticipated recovery in crypto prices that experts had previously forecast.
However, if Chainlink price fails to hold the key support level identified by experts, it could trigger another wave of significant selling pressure. This analysis explores the crucial LINK price levels to monitor and the market pundits' suggestions for traders.
Chainlink Price Dips Near Key Support
Chainlink price has declined by over 2% in the past 24 hours, trading at $14.11 at the time of writing. Its trading volume has increased by more than 65%, reaching $779 million. Notably, the cryptocurrency has traded within the range of $13.45 to $14.47 over the last day.
The crypto has experienced a decline of approximately 15% over the past week, indicating substantial selling pressure in the market. In the last month, Chainlink price has fallen by nearly 16%, after reaching a monthly high of $19.17.
The recent dip below the $14 mark has raised concerns among traders. Market experts point out that $14 represents a major support level for Chainlink, and failure to maintain this support could signal an impending significant price drop.
Expert Ali Martinez recently highlighted that the $13.76 level serves as a critical support trendline for LINK price. He noted that this trendline has remained strong since July 2023, and Chainlink price is now at risk of losing it.
In essence, a downtrend below this support level could initiate substantial selling pressure, potentially driving the price further downwards.
What’s Next for LINK Price?
As Chainlink price hovers near the $14 mark, market observers are seeking further insights into the coin's future trajectory. Ali Martinez's warning has garnered significant attention from market participants.
In a separate statement, Martinez indicated that LINK price must defend the $14 support to confirm its bullish trend. He further noted that maintaining this support could lead to a strong rally for the asset, potentially reaching $20 or even $50 in the coming days.
Previously, the expert had stated that the price range between $13 and $26 is a "no-trade" zone for Chainlink. This suggests the analyst believes the cryptocurrency will only experience a significant move if it breaks through the $26 resistance.
Conversely, a drop below $13 could also trigger a substantial decline for the asset. Consequently, investors are closely monitoring LINK price performance, with all attention focused on the $14 support level.