Chainlink price analysis: LINK breaks above $8.00, eyes $8.50 next

TL;DR Breakdown

• Chainlink price analysis suggests an upwards movement to $8.50 after brief rest at the $8.00 mark
• The closest support level lies at $8.00 and further below at $7.50
• LINK faces resistance at the $8.20 mark

The Chainlink price analysis shows that the LINK price action has broken above the $8.00 mark but still faces strong bearish pressure before it can recover to $8.500.

The broader cryptocurrency market observed a bearish market sentiment over the last 24 hours as most major cryptocurrencies recorded negative price movements. Major players include BTC and XRP recording a 1.70 and a 1.64 percent decline, respectively.

Chainlink price analysis: LINK breakthrough $8.00 resistance

The MACD is currently bullish, as expressed in the green colour of the histogram. On the other hand, the indicator shows low bullish momentum as expressed in the shallow height of the indicator. Moreover, the lighter shade of the indicator suggests an increasing bullish activity as the price approaches the $8.00 mark.

The EMAs are currently trading very close to the mean position as net price movement over the last ten days remains low. Currently, the EMAs are trading close to each other showing low momentum at press time. On the other hand, the converging EMAs suggest a slowly declining bullish momentum. 

The RSI was rapidly moving downwards as the price fell from the $7.00 mark towards the $6.80 mark, but started to stabilize as the price found support at the level. At press time, the indicator trades near the mean level at 47.32 index unit level as the price suggests low net momentum with a gentle slope suggesting a struggle between bears and bulls at the current level.

The Bollinger Bands are currently wide as the price action observed high volatility across the short-term charts. Moreover, as the price action trades close to the upper limit of the indicator, suggesting further divergence across the timeframe. The indicator’s bottom line provides support at the $7.364 mark while the upper limit presents a resistance level at the $8.192 mark. 

Technical analyses for LINK/USDT

Overall, the 4-hour Chainlink price analysis issues a buy signal, with 16 of the 26 major technical indicators supporting the bulls. On the other hand, only three of the indicators support the bears showing a low bearish presence in recent hours. At the same time, nine indicators sit on the fence and support neither side of the market.

The 24-hour Chainlink price analysis accentuates this sentiment and issues a buy signal with 15 indicators suggesting an upwards movement against only two suggesting a downward movement. The analysis shows bullish dominance across the mid-term charts with little to no bearish resistance persisting. Meanwhile, the remaining nine indicators remain neutral and do not issue any signals at press time.

What to expect from Chainlink price analysis?

The Chainlink price analysis shows that the Chainlink market is enjoying a strong bullish rally as the price rose from $5.50 to the $8.50 mark in the last 50 days. However, the price action observed a sharp crash at the level causing the price to drop back to the $8.00 mark where it trades at press time.  

Traders should expect LINK to continue its upwards rally as the price action moves back to test the $8.500 resistance level. This suggestion is reinforced by the technical indicators which show bullish sentiment across both the 4-hour and the 24-hour price charts. However, across the short-term, the price can be expected to move between the $7.800 and the $8.200 mark before it generates bullish momentum to move upwards.