Chainlink‘s (LINK) value has soared over the last fortnight, escalating to a peak of $19.75, the highest figure recorded since the previous year. The cryptocurrency has notably surged past a three-month dormant price range. With this breakout, speculations arise regarding the sustainability of LINK’s growth, supported by comprehensive chart analyses and forecasts.
Insights from Weekly Chart Movements
Observations of LINK’s weekly chart unveil a sharp uptrend commencing from June 2023, which hit a plateau in November within a significant horizontal zone, marking an 85-day consolidation phase. The recent breakout has propelled LINK’s price to a two-year zenith of $19.75. The Relative Strength Index (RSI) suggests that while bullish momentum prevails with the index above 50, there’s a risk of an impending bearish divergence hinting at a potential reversal, as the RSI trends towards the overbought territory.
Daily Chart Predictions for LINK’s Trajectory
The daily chart analysis, informed by Elliott Wave theory, postulates that LINK’s upward trajectory is part of its final wave, with the current phase residing in the third sub-wave of this ascent. Targets for the culmination of LINK’s rise hover around $24.85 and $28.70, calculated through specific wave proportions and Fibonacci retracement levels. Attaining these targets would necessitate LINK’s value to climb an additional 30% to 50%.
Despite the optimistic projections for LINK’s value, a fallback below the pinnacle of its first sub-wave at $16.60 could negate the bullish scenario, possibly triggering a 35% decline to the next support level near $12.80.