The Chainlink market analysis reveals potential for trend reversal. MVRV ratio, support and resistance, as well as technical indicators play key roles.
MVRV Ratio and Its Impact
Analysts note that the MVRV (Market Value to Realized Value) is at -16.3%, possibly indicating a market bottom. Historically, such MVRV levels led to significant rallies such as 312%, 64%, and 52% before.
Key Market Levels and Technical Indicators
Current support for LINK is placed between $17.50 and $18.50, with resistance at $20-$21. A breakout above this level could lead to rallies to $25-$27. MACD indicates bearish pressure, yet a crossover could signal a trend reversal. The Relative Strength Index (RSI) is recovering from overselling, with above 50 signaling growing bullish momentum.
Potential Scenarios for LINK's Price Movement
If LINK sustains above $18.50 and favorable technical indicators emerge, the price may surge to $20 and above. A breakout above $21 would affirm bullish pressure, possibly reaching $25-$27. Conversely, a breakdown to below $17.50 could lead to further declines to the $15-$16 zone.
Currently, LINK is priced at $18.67, showing slight growth over the last 24 hours. Market indicators suggest potential upward movement, but traders should watch for changes in technical signals.
