• Chainlink price struggling with short-term resistance at $32.00.
  • Whale transaction count registered a spike on April 2.
  • Topside trendline comes into play around $42.40.

Chainlink price trended sideways for more than a month and on below-average volume every day, but one. The price action in mid-February, early March, and now point to $32.00 being a psychologically important level. If the level is overcome, the altcoin should rally more than 30% in the coming days.

Chainlink price bottoming out versus Bitcoin

Data from ByBt.com shows that Grayscale bought 115,570 tokens for the Grayscale Trust from March 17 until April 1, which included a large 65,570 purchase last Thursday. Heavy buying like that gets the attention of market participants and may have been behind the 8% on April 2.

Santiment data showed that the number of mid and large holders owning 100-100k LINK tokens notably accumulated during March. Additionally, the so-called whales holding 100,000 to 1,000,000 LINK tokens increased 6% from April 1 - April 3.

LINK whale transaction count chart

LINK whale transaction count chart

The March high was $32.00, and that is the level that LINK has been struggling with over the last few days. A trade above $33.15 will confirm the April 2 breakout and set the stage for a quick advance to the February high at $36.92. The next target is the 2.618 Fibonacci extension of the August 2020-September correction at $40.53.

A 33% gain would accompany a rally to the topside trendline at $42.51, which was resistance at the February high and resulted in a rapid 40% decline. For now, LINK should not be reviewed as a trend trade but a short-term opportunity.


LINK/USD daily chart

LINK/USD daily chart

The first level of support is at the intersection of the rising trendline and the 50-day simple moving average (SMA) at $24.83, followed by the February 23 low at $21.00. The last gasp support level is the August 2020 high at $20.00.


Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer. Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. Risk Disclosure: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.

Join Telegram

Recommended content


Recommended Content

Editors’ Picks

Convex Finance extends gains after facing short squeeze

Convex Finance extends gains after facing short squeeze

Convex Finance (CVX), the DeFi token, extends its rally to double-digit gains and raises 26% on Monday, as seen on Binance. Data from Coinglass shows large volume liquidation of short positions, to the tune of $722,000. 

More Cryptocurrencies News

XRP stuck below $0.50 while SEC abandons demand for $2 billion penalty

XRP stuck below $0.50 while SEC abandons demand for $2 billion penalty

XRP struggles to make a comeback above sticky resistance at $0.50 on Monday as traders continue to assess the legal skirmishes between blockchain firm Ripple and the US Securities and Exchange Commission (SEC).  

More Ripple News

Quant price poised for a short-term sell-off amid potential early-holder selling spree

Quant price poised for a short-term sell-off amid potential early-holder selling spree

Quant (QNT) price could have a short-term downward pressure. Data from Lookonchain suggests that an early holder has deposited 118,008 QNT tokens worth $9.78 million into the Kraken exchange.

More Cryptocurrencies News

Top 3 Price Prediction Bitcoin, Ethereum, Ripple: Bitcoin retesting its major resistance level

Top 3 Price Prediction Bitcoin, Ethereum, Ripple: Bitcoin retesting its major resistance level

Bitcoin price is retesting its weekly resistance level of $67,147. Ethereum price finds support around $3,321, the price imbalance between $3,146 and $3,498. Ripple price faces rejection due to the key resistance level of $0.499.

More Cryptocurrencies News

Bitcoin: Has BTC found a local price bottom?

Bitcoin: Has BTC found a local price bottom?

Bitcoin (BTC) price looks set for a mild fall this week, weighed by slight outflows in the US spot ETFs and the US Fed keeping a hawkish interest-rate outlook despite easing inflation. Technical indicators suggest that BTC could face a further 5% correction in the short term before resuming the uptrend.

Read full analysis

BTC

ETH

XRP