By Franklin Smith
- Chainlink price gained 9% within the previous day.
- For now, LINK eyes a break past the resistance level at $8.
- Buyers consolidating saw the 24hr trading volume declining by 13%.
Chainlink exhibits bullish trends as it makes upside strides. The alternative token gained around 9% within the past 24hrs, climbing from the 12 May lows of $5.50.
After several bearish candles within the previous week, Chainlink consolidates beyond $7.5 and seems ready to reclaim the demand zone and resistance at $8. The past day had the trading volume losing 13%, showing buyers on upside consolidation amid the current bias.
Holding beyond the $8 mark can support uptrends towards $12, a month-long peak. Nevertheless, support remained at $5.50, and a possible downward move would see LINK retesting this foothold. The overall crypto market noted upswings as Bitcoin gained around 3% to $30K.
24hr Timeframe – Oversold RSI Might Hinder Uptrends
Chainlink’s 24hr candle chart shows LINK forming stable upswings following a bearish week that saw the token exploring the $5.53 lows.
The past 24 hours saw the price climbing towards a $7.68 high as the alt targeted the resistance at $8. The coming sessions today might see LINK overpowering this hurdle. That way, it will target the 50-day EMA at $8.10.
Nevertheless, the Relative Strength index maintained oversold conditions, reading at 32.17. Moreover, the indicator trended lower in this publication. Trading volume declines within the previous day might prove investor holding at the moment.
However, the RSI should hike to show price upswings. Also, the Moving Average Convergence Divergence forms higher highs as it tried bullish divergences but hasn’t climbed beyond the neutral region.
The coming 24 hours can witness LIK breaching the resistance at $8. However, such a leg up might attract profit booking. Thus a move towards $12 remains unlikely with the prevailing trend.
Moreover, failure to reclaim the Exponential Moving Average at $8.10 would welcome price declines towards the $5.50 support floor.
Meanwhile, Chainlink enthusiasts should watch Bitcoin’s price trends for money-making moves. A U-turn in BTC would see LINK resorting to the downside, invalidating the upside journey.
Stay tuned for upcoming crypto updates.
Editorial credit: sdx15 / shutterstock.com