- Chainlink breaks several barriers becoming the week’s most improved altcoin.
- LINK/USD price action narrows under a descending trendline resistance as reversal builds momentum.
Chainlink has been on most of the cryptocurrency traders and enthusiasts’ minds since the weekend session. The altcoin has not only broken several barriers but also attracted a great amount of volume to back the bullish action. Although the entire cryptocurrency market has been bullish since mid-July, most tokens have slowed down the uptrend. However, Chainlink has remained unstoppable in the push for new highs.
On Sunday, LINK attracted a higher volume than Bitcoin (BTC) on Coinbase (a leading cryptocurrency exchange platform in the US). The surge in volume was also reflected by the consistent rising of the price first breaking the barrier at $10 and sustaining gains towards $15.
LINK/USD topped the resistance at the 61.8% Fibonacci retracement level taken between the last drop from $14.53 to the lower level at $9.12. Although aiming for levels closer to $20, LINK hit a barrier within a whisker of $15.
LINK/USD 1-hour chart
A reversal has, however, been underway with LINK/USD narrowing under a descending trendline. Chainlink seems to be settling for consolidation above the 61.8% Fibonacci level ($12.50). It is teetering at $14.53 while its immediate upside is capped by the 50 SMA in the hourly range.
A break above the trendline resistance could eventually resume the uptrend with gains past $15.00 moving closer to the ultimate resistance at $20. For now, consolidation above the 61.8% Fibo level seems like the best approach. It will allow the buyers to gather more strength in order to have more volume while staging an attack beyond the trendline resistance. Sideways action is brought to light by the RSI and the MACD indicators.
Chainlink Intraday Levels
Spot rate: $13.23
Percentage change: -1.81%
Relative change: -0.27
Trend: Bearish bias