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Chainlink bears will get rekt if LINK price moves past $30

  • Chainlink price returns to a primary bear flag channel after a temporary move lower.
  • Key resistance ahead for Chainlink near the $30 range is the last step for bulls to push higher.
  • Bears remain in control - for now. 

Chainlink price has found significant trading opportunities and support/resistance inside June’s primary bear flag channel. As a result, many resistance levels are ahead for Chainlink and share the same value area as the top of this channel. 

Chainlink price up against massive resistance, bulls could rally if price can close above $30

Chainlink price faces considerable resistance from bears ahead. Within the Ichimoku system, the Tenkan-Sen and Kijun-sen share the same price level at $30.13, and just above the current close is the 61.8% Fibonacci retracement level at $29.03. And finally, there is a high volume node in the volume profile at $30.17.Therefore, bulls will need to push Chainlink price above the $30 price level and close above it to reestablish clear bullish momentum. 

Chainlink bears should be nervous about the current trading activity, but they remain in control. If the current daily candlestick closes within the range of yesterday’s candlestick - forming an inside bar - then a precise entry-level to short will present itself. In the event of a daily inside bar, the short entry would be below today’s low and would coincide with a break below the bear flag channel - this would occur at $26.70. 


LINK/USDT Daily Chart

However, significant support exists around the $26.70 level: Senkou Span A, the 50% Fibonacci retracement and the 2021 VPOC share the $26.70 price range as a support zone.
Chainlink price is in the definition of an instrument in consolidation. 

A sustained bullish breakout above $30 for bulls should yield a price target of future resistance at $42. For bears, a breakout below $26.70 will mean a test of the final Ichimoku indicator (Senkou Span B) at $22.
 

Author

Jonathan Morgan

Jonathan Morgan

Independent Analyst

Jonathan has been working as an Independent future, forex, and cryptocurrency trader and analyst for 8 years. He also has been writing for the past 5 years.

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