Chainlink （LINK） faces challenges as it hovers at the downside, but analysts suggest a potential recovery driven by bullish indicators and increased whale activity.
Points
- Chainlink’s price is currently below the 20-day EMA, indicating a bearish trend.
- Key support levels are $11 and $10.20, while resistance is at $14.30 and $15.
- Increased whale activity suggests potential accumulation and a possible recovery.
- Analysts highlight the importance of monitoring support and resistance levels.
Chainlink （LINK） has faced a tough start to July, with the token price hovering near its downside. Despite making consecutive bullish candles, LINK remains below the 20-day Exponential Moving Average （EMA）, indicating a bearish trend. At press time, LINK is trading at $13.09 with a 1.36% intraday drop, reflecting neutrality on the charts.
Key Support and Resistance Levels
The primary hurdle for LINK is at $15, while the downside is capped at $11. Analysts suggest that LINK may consolidate in this range before making a decisive move. The Relative Strength Index （RSI） shows a positive crossover, recuperating from the oversold region, which may signal a potential recovery.
Whale Activity and Market Sentiment
Prominent crypto analyst Ali Martinez reported that whales have amassed over 6.2 million LINK in the past week, totaling approximately $76.88 million. This accumulation suggests that large holders remain optimistic about the token’s future prospects.
#Chainlink whales have snapped up over 6.2 million $LINK this past week, totaling approximately $76.88 million! pic.twitter.com/Hats1Nmsny
https://twitter.com/ali_charts/status/1810214886099521729
Another analyst, Michael Van De Poppe, noted that LINK is trading around its pivot bottom mark of $12 and could recover from there. Historical patterns indicate that LINK often finds its bottom in June, suggesting a potential upward movement.
$LINK has been getting a seasonal pattern of finding bottoms in June of every year. Very likely, it’s having the same bottoming procedure in 2024 and will start to crawl upwards from here. pic.twitter.com/5T4GikNrFa
https://twitter.com/CryptoMichNL/status/1810380832965607654
解説
- Support and Resistance Levels: Understanding the key support and resistance levels is crucial for anticipating price movements. For LINK, the immediate support levels are $11 and $10.20, while resistance is at $14.30 and $15.
- Whale Activity: Significant whale activity suggests potential accumulation and confidence in the token’s future. Monitoring whale movements can provide insights into market sentiment and potential price direction.
- Technical Indicators: The RSI and other technical indicators can signal potential recovery points. A positive crossover in the RSI indicates a possible upward trend, while remaining below the 20-day EMA suggests caution.
- Market Trends: Historical patterns and seasonal trends can provide valuable context for understanding current market conditions. For LINK, June has historically been a bottoming period, which may signal an upcoming recovery.
Chainlink’s current position near its downside presents challenges, but increased whale activity and positive technical indicators suggest a potential recovery. Investors should monitor key support and resistance levels and stay informed about market trends to navigate the potential volatility in LINK’s price.