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Chainlink Price Forecast: LINK remains fundamentally strong despite weak support

  • Chainlink development activity rises after achieving 29 integrations in October.
  • LINK/USD could plunge to the primary support between $7 and $8 if the price closes below $10.

The Chainlink bulls are working around the clock to ensure that the short-term support at $10 is defended at all costs. The struggle to protect this support comes after LINK was rejected at $13. At the moment, the decentralized oracle live price feed token has a value of $10.4. anchor at $10 must remain intact for Chainlink to avert losses as far as $7.

Chainlink fundamentals suggest consistent network growth

According to Santiment, a renowned platform for on-chain data, development activity within the Chainlink network has been rising since mid-October. The growth pattern is validated by the bar chart below. In general terms, an increase in development activity points towards the asset's sustainability and longevity. In other words, it means that investors can hold such an asset for the long term.

LINK/USD price chart

Chainlink development activity chart

Chainlink adds 29 integrations in October

Chainlink has focused from the beginning on providing the most secure decentralized oracle price feeds and on-chain data for other smart contract projects in the industry. Therefore, collaborations and integrations are two of the strategic techniques the project uses to ensure continuity and relevance.

In October, Chainlink achieved at least 29 integrations. The network has 315 LINK integrations that include 74 blockchains, 98 decentralized finance (DeFi), 23 data providers and 44 nodes. In conjunction with the earlier mentioned development activity, Chainlink seems better positioned for a bright future.

Chainlink integrations

Chainlink integrations

Chainlink hunts for formidable support

LINK/USD recently broke out of an ascending wedge pattern, adding credence to the bearish narrative in the wake of the rejection at $13. The downtrend stretched under the 200 Simple Moving Average, where it retested the critical support at $10.

The Relative Strength Index (RSI) hit the oversold region amid the widespread losses reported on Tuesday. A reversal is likely to come into the picture if the RSI sustains motion towards the midline.

LINK/USD price chart

LINK/USD 4-hour chart

However, when all technical levels are considered, the path of least resistance remains downwards. Besides, the 200 SMA limits price action ahead of other resistance zones highlighted by the 50 SMA and 100 SMA. Consequently, closing under the crucial $10 level will validate the bearish outlook and probably extend the losses to the primary support range between $7 and $9.

Author

John Isige

John Isige

FXStreet

John Isige is a seasoned cryptocurrency journalist and markets analyst committed to delivering high-quality, actionable insights tailored to traders, investors, and crypto enthusiasts. He enjoys deep dives into emerging Web3 tren

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