Chainlink Price Analysis: Newsbit Analyst Is Bullish Again
Uffermans analyzes the Chainlink rally: a breakout above $11 has been confirmed, with a price target around 20, and the major trendline lies beyond that."
Chainlink (LINK) has been performing well in recent days. While most cryptocurrencies have been correcting, LINK has actually staged a rally: its price has risen by more than 30 percent over the past two weeks. Newsbit analyst Erik Juffermans breaks down the chart: what are the key levels right now?
The LINK price is currently trading around $14.70. That’s well below the 2021 record high of $50, but Juffermans sees room for growth. According to him, the price has broken through a key level, meaning investors can look upward again.
The chart below shows the price movement over the past few months. The price was stuck below the resistance level around $10 to $11 for a long time. Last month, LINK finally broke through that zone. After the recent retest of this former resistance level, the coin began a rally.
Looking ahead, Juffermans is examining the price trend over the past few years. The next key level on the monthly chart is around $20. “That is essentially the price target, provided the momentum within the crypto market continues.”
According to Juffermans, a breakout above the $25 range would be truly positive. That is the peak of the previous bull market, which was lower than the record high of over $50 set in 2021. A breakout above this level would confirm a new long-term uptrend.
If you connect the peaks of the two previous cycles, you’ll see a downward trend line on the chart. According to Juffermans, a breakout above that line would be a strongly positive signal. “This is a signal that investors might want to wait for before getting in.”
In a bull market, Juffermans notes, breaks above such trend lines often signal the start of a rally. As long as the price remains below it, the line actually acts as resistance.