Chainlink (LINK) has faced challenges at a key resistance point, leading to a slowdown in its short-term momentum. Analysis indicates that the latest upward movement concluded at $13.82, which currently serves as a significant obstacle to further progress.
Resistance at 0.618 Fibonacci Level
Market analysis shows that LINK's price failed to close above the $13.82 mark, defined by the 0.618 Fibonacci retracement level. This zone is often viewed by traders as a critical turning point for price action. Previously, the price reached this level but was unable to break through, and now an area between $13.70 and $13.82 acts as supply resistance.
Support Levels and Price Structure
Currently, support for LINK lies just below present levels, with immediate short-term support appearing around $13.16. Additional downside buffers are located within the $12.00–$12.50 range. The long-term low of $10.92 remains intact and defines the lower boundary of the current range.
Trend Direction and Market Setup
The price structure has been characterized by lower highs and lower lows since mid-May. Current recovery shows some strength but lacks confirmation of a trend reversal. A daily close above $13.82 could shift the sentiment and open up potential higher levels at $14.17 and $14.44. Meanwhile, LINK price continues to trade within a narrow range, testing the resolve of both buyers and sellers.
Given the present circumstances, the $13.82 level poses a significant challenge for Chainlink. Unless there is a breakout above this level, buyers may struggle to build sustained momentum.
