Chainlink price analysis: LINK finds support at $6.00

TL;DR Breakdown

• Chainlink price analysis suggests sideways movement around the $6.00 mark
• The closest support level lies at $5.91
• LINK faces resistance at the $6.41 mark

The Chainlink price analysis shows that LINK has fallen to the $16.00 mark as the bears continue dominating the market. Currently, the bulls find support at $16.00 but it is unknown whether the buyers can hold on

The broader cryptocurrency market observed a bullish market sentiment over the last 24 hours as most major cryptocurrencies record positive price movements. Major players include ATOM and ONT recording a 12.79 and a 6.70 percent incline, respectively.

Chainlink price analysis: LINK falls to $6.00 support

The MACD is currently bearish as expressed in the green color of the histogram. However, the indicator shows low bullish momentum in recent hours as observed in the short height of the histogram which suggests weak selling momentum. Regardless, the darker shade of the histogram suggests a declining selling pressure as the price stabilizes above the $6.00 support.

The EMAs are currently trading below the mean position as net price movement over the last seven days remains negative. However, as the markets observe bullish activity, the EMAs move up towards the mean line, with the 12-EMA taking the lead. In recent hours the low gradient of the EMAs suggests a low trading activity in the LINK markets.

The RS dived into the oversold region yesterday but has since climbed back into the recent. At press time, the index trades close to the 50.00 mean level and hovers at 42.64 moving upwards to show slight buying pressure. The current position leaves low room for further downwards movement, while the current slope suggests low pressure from either side of the market.

The Bollinger Bands has been moving in a downwards channel as the price slowly moved from the $7.50 mark to the $6.00 support level. The bands have been converging in the past few days as the price volatility declined across the short-term charts. Currently, the indicator’s mean line presents resistance at the $6.15 mark, while the lower limit provides support at the $5.90 mark. 

Technical analyses for LINK/USDT 

Overall, the 4-hour Chainlink price analysis issues a sell signal with 12 of the 26 major technical indicators supporting the bears. On the other hand, only five of the indicators support the bulls showing a low bullish presence in recent hours. At the same time, nine indicators sit on the fence and support neither side of the market.

The 24-hour Chainlink price analysis share this sentiment and issues a sell signal with 14 indicators suggesting a downwards movement against only two indicators suggesting an upwards movement. The analysis shows the bearish dominance across the mid-term charts while showing weak buying pressure for the asset across the mid-term charts. Meanwhile, ten indicators remain neutral and do not issue any signals at press time.

What to expect from Chainlink price analysis?

The Chainlink price analysis shows that the $7.50 rejection was the start of a short-term bearish rally for LINK. Currently, the price finds support at the $6.00 mark as the bulls try to fight back. However, the Bitcoin bears are reflected on a majority of altcoins as BTC falls below $20,000.

Traders can expect LINK to move sideways around the $6.00 mark as while the bulls find support at the level, the bearish pressure still weighs on the price action. This suggestion is reinforced by the mid-term technical analyses which show a bearish dominance over both the 4-hour and the 24-hour charts but a declining momentum over the short-term charts. As such, the price can be expected to move between $5.90 to $6.50 with a potential upwards movement to the $7.00 mark.