Chainlink (LINK) has entered a decisive bullish phase by regaining key technical levels, signaling potential further growth.
Key Technical Points
Chainlink has confirmed its bullish structure by reclaiming the 50-day moving average and closing above the value area. Key technical levels include:
- **$19.28 Support Zone:** This level aligns with both high-time frame structural support and the value area high. A retest here would be considered a bullish higher-low formation. - **Weekly Market Structure:** The close above the value area high establishes consecutive higher highs and higher lows, a hallmark of bullish momentum. - **Upside Target at $33.75:** Next major resistance where profit-taking may occur if bullish momentum persists.
Market Outlook
From a market structure perspective, LINK is now trading with consistent higher highs and higher lows, cementing its bullish outlook. The breakout and acceptance above the value area high reflect restored market confidence in higher price zones. However, the possibility of a corrective move should not be disregarded. A retracement into the $19.28 area would be seen as a bullish foundation for the next move higher.
Expectations for Future Price Action
Despite strong demand for LINK, consolidation may take time over the coming weeks. However, as long as Chainlink holds above the $19.28 mark, the broader structure remains bullish, strengthening the possibility of a rally to $33.75. The trading volume also confirms the strength on the market, as increasing volume shows active demand.
In conclusion, Chainlink is currently in a consolidation phase above the value area high. Technical signals strongly support the potential for further upward movement, though a patient strategy is required for sustained buyer control.
