Chainlink (LINK) traded to a new annual high near USD 27.00 before correcting lower, on par with bitcoin and Ethereum. The price now has a big support of $ 24.00 and the 100 SMA (H4).
- The Chainlink token price started a downward correction from its as high as $ 27.03 against the US dollar.
- The price is well above the USD 24.00 level and the simple 100 (4 hour) moving average.
- A major bullish trendline is forming with support near USD 23.85 on the LINK / USD pair’s 4-hour chart (data source from Kraken).
- The price is showing positive signs and it could start a fresh rise towards the USD 27.00 level.
Chainlink (LINK) remains well supported
After a closing above $ 25.00, chainlink (LINK) extended its upward movement against the US dollar, similar to bitcoin and Ethereum. There was a clear break above the USD 26.50 level and the price traded to a new high at USD 27.03.
The price started a downward correction from USD 27.03 and traded below the USD 26.00 level. There was a break below the USD 25.50 support level. The price even spiked below the USD 24.00 level and traded as low as USD 22.92.
However, the price remained well supported and rebounded above USD 23.50. LINK price is now trading nicely above the USD 24.00 level and the 100 simple (4 hours) moving average. It already tested the 50% Fib retracement level of the recent drop from the $ 27.03 high to the $ 22.92 low.
Source: LINKUSD on TradingView.com
A major bullish trendline is also forming with support near $ 23.85 on the 4-hour chart of the LINK / USD pair. On the upside, the price is facing resistance near the USD 25.00 level.
The next big resistance is near the USD 25.50 level. It is close to the 61.8% Fib retracement level of the recent drop from the high of $ 27.03 to the low of $ 22.92. A clear break above USD 25.50 could potentially trigger a fresh rise towards the USD 27.00 and USD 28.00 levels.
If the price of chainlink doesn’t move above the USD 25.00 level, there could be another drop. An initial support on the downside is near the USD 24.00 level and the trendline.
A break below the trendline support could further bring the price down to $ 23.00. Even more losses could push the price towards the USD 22.00 level.
4-Hour MACD – The MACD for LINK / USD is gaining momentum in the bullish zone.
4-Hour RSI (Relative Strength Index) – The RSI for LINK / USD is currently close to the 50 level.
Key Support Levels – USD 24.00, USD 23.85 and USD 22.00.
Major Resistance Levels – USD 25.00, USD 25.50 and USD 27.00.