Chainlink Targets $50 Breakout As Bulls Push For New Highs

Chainlink (LINK) is showing strong bullish potential, with a multi-year ascending triangle formation on its 2-week chart, signaling a possible breakout.

Analyst Lieutenant Ponzi highlights the steady upward trend, with the price testing key resistance levels around $40, suggesting the bulls are gaining control.

If the asset successfully breaks this resistance, the price could surge to new highs, potentially reaching $50 or more. The chart’s clean structure indicates a sustainable rally, positioning it as an attractive investment for the coming years.

Furthermore, its bullish outlook is bolstered by analyst CryptoELITES, who predicts a mid-term target of $100 by year-end. The filing of a Bitwise LINK ETF adds optimism, signaling growing institutional interest. With strong market momentum and increasing demand for decentralized finance, its price could continue its upward trajectory, reaching new milestones.

Chainlink’s Ascending Triangle Formation

The 2-week chart shows a bullish ascending triangle pattern, typically recognized as a continuation formation. This pattern occurs as the price creates higher lows while testing resistance levels around $40. The structure of the chart indicates that the bulls are in control, gradually driving the price upward.

LINKUSD Chart | Source:x

The support line has been steadily climbing since 2018, which suggests consistent buying activity despite occasional pullbacks in the market. This steady climb forms the foundation of a potentially significant bullish breakout.

The breakout from the ascending triangle appears imminent, as the token approaches the crucial $40 resistance level. The price target for this breakout could extend to $50 or higher, provided the support levels remain intact.

Technical Setup for Further Gains

The technical analysis of the price action reveals that the market is currently in an accumulation phase. With lower volatility and higher support levels, the gradual upward movement indicates that it is preparing for further price advancement. Also, the price chart suggests that the coin is well-positioned for a sustainable rise, especially if the resistance at $40 is breached.

Moreover, this potential breakout could lead to substantial gains, making the current market conditions ideal for long-term investors looking to capitalize on its bullish trend. The ongoing accumulation phase suggests that it could maintain a stable rise as the market continues to favor the asset’s growth.

Institutional Support Adds Optimism

In addition to the bullish technical chart, the token has gained institutional interest, further strengthening the outlook. According to analyst CryptoELITES, altcoin is poised for a major price surge in the near future, with a mid-term target of $100 by the end of 2025.

This projection stems from the combination of a strong technical setup and increasing institutional backing, particularly the filing of an ETF by Bitwise. This move has generated optimism in the market, as institutional investment could drive more significant capital into the asset, potentially accelerating its price movement.

LINKUSDT Chart | Source:x

The growing institutional interest is a key factor that could contribute to the momentum shift for Chainlink. As more institutional players enter the market, the potential for substantial price movements increases. The introduction of the ETF, combined with strong technical indicators, could push it closer to its projected target of $100. Analysts believe that this institutional backing, along with the favorable chart pattern, creates a strong case for further bullish behavior in the coming months.

Chainlink Current Price Performance

In the last 24 hours, the asset has experienced a positive price movement, rising by 4.12%. At the time of writing, the cryptocurrency is trading at $24.24, with a market capitalization of $16.45 billion. The price movement has been steady, reflecting growing market confidence in its prospects.

LINKUSD 24-Hr Chart | Source: BraveNewCoin

Despite occasional fluctuations, the price trend indicates an upward trajectory, with key resistance levels being tested. A brief surge was recorded around midday on August 26, where it peaked near $24.50 before slightly retreating to maintain a steady level above $24.

The trading volume has been substantial, with over $1.6 billion in transactions recorded in the last 24 hours. Hence, the high trading volume reflects strong investor activity, which could further fuel its price movement.

Additionally, the recent uptick in price, coupled with significant trading volumes, suggests that the altcoin is preparing for a potential breakout above $40.