.png)
11 months ago
14
ARTICLE AD BOX
The post Chainlink Short Trade Activated: A Wrong Move May Trigger a 6x Bearish Trend Soon! appeared first on Coinpedia Fintech News
The crypto space remains the same as the Bitcoin price continues to trade below the crucial range. This has compelled the majority of the tokens to trade within a narrow range, including the Chainlink (LINK) price. The token has displayed huge price action in recent times, breaking above a prolonged consolidation range. With this, the price reclaimed a two-digit level after trading below for more than 14 months.
Chainlink continues to trade within a distribution phase, forming lower highs and going low volume every day. In the past few months, the price has faced a major hurdle at $16.6 as it gets rejected each time it tests these levels. Now that the price is approaching the same resistance for the fourth time, can it break above the levels?
Just before the 2023 close, the LINK price set a new high at $17.6, which led to a drastic plunge. However, the bulls jumped in and halted the bearish trend, rising above SMA-50 levels in the daily time frame. After ranging within a bullish cloud since the last week of October, the trend is about to flip as the Ichimoku cloud has flashed a bearish signal. With this, the trend is expected to trigger a fresh descending trend, with the support being dropped below $15. Although the price sustains within the cloud, there are few chances of a bullish rebound.
As bearish signals emerge, the technicals remain neutral, implying the possibility of a new descending trend. With a small wrong move, the price may drop hard, close to $10, or even below the levels close to $8. However, there is a strong support level at $10.25, which may offer a base to trigger a rebound.
If the LINK prices move close above the last high at $17.68 and continue to hit a new resistance level, a fresh consolidation may begin. A bearish breakdown from the range may confirm the beginning of a distribution phase.
English (US)