Chainlink (LINK) has consolidated above $6 support over the past week. The 21-day line SMA has slowed the cryptocurrency’s upward movement.
If Chainlink rallies above the current support, the altcoin will rally above the moving average lines. The upward momentum will extend to the high of $9. Nevertheless, selling pressure has eased after the last downward impulse on May 12. The bulls have consistently defended the current support as the cryptocurrency holds above the current support. However, if the bears break the current support, the market will fall back to the previous low at $5.50. Meanwhile, Chainlink is trading at $6.39 at the time of writing.
Chainlink indicator reading
Chainlink is at level 46 of the Relative Strength Index for period 14, indicating that the altcoin is in the downtrend zone but has completed a sideways movement. The altcoin’s price bars are below the moving averages, indicating a decline. LINK is above the 25% area of the daily stochastic. The bullish momentum is volatile.
Technical indicators:
Major Resistance Levels – $30 and $35
Major Support Levels – $10 and $5
What is the next move for Chainlink?
Chainlink is still in a sideways movement due to the presence of small indecisive candlesticks called doji. These candlesticks cause the altcoin to trade marginally. The altcoin fluctuates between the price levels of $5.50 and $7.50. A break below these levels will put the altcoin into a trend.
Disclaimer. This analysis and forecast are the personal opinions of the author and are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by Coin Idol. Readers should do their own research before investing funds.
Source: https://coinidol.com/chainlink-holds-5-50/