Can Chainlink bulls drive the rally past $9?
Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion.
- The price action on the 4-hour chart flipped bullishly once more as the uptrend continued.
- The $8.5-$8.8 resistance zone would be vital for the bulls to secure.
Chainlink [LINK] prices tested the former resistance at $7.35 as support on 26 July and the bulls managed to push prices higher once more. Bitcoin [BTC] was slowly climbing higher from the $29.1k mark but the sentiment behind the king wasn’t strongly bullish in the short-term.
Read Chainlink’s [LINK] Price Prediction 2023-24
Therefore, LINK investors with a longer time horizon can wait for a clear setup. This can occur upon a move beyond $8.8. The $8.5 region is expected to serve as a hefty resistance area, one that hasn’t been beaten since May 2022.
The $8.5 region was a firm higher timeframe resistance that LINK bulls must be cautious ofThe $9 and $9.5 levels have not been flipped to support in more than a year. The bearish order block (red box) extended from $8 to $8.8 and derived from the 1-day timeframe. Therefore, even though LINK has short-term bullish pressure, it could have a hard time climbing past this behemoth of a resistance zone.
A move past the $8.8 level would show long-term buyers that the past year’s slump could be beginning to change. Hence, in the coming months, a move above $9 and a retest of the $8.5-$8.8 region could present a buying opportunity. Yet, as things stand, the level represented a take-profit for short-term bulls.
The RSI and the OBV showed bullish intent. The RSI broke out past the neutral 50 mark, while the OBV began to trend higher over the past few days. This boded well for the Chainlink buyers.
How much are 1, 10, or 100 LINK worth today?
The spot CVD supported the volume indicator findingsData from Coinalyze showed that the sentiment was flipping in favor of the bulls once more. The Open Interest began to climb higher over the past 24 hours, showing speculators were bidding LINK once more. The spot CVD also noted higher lows after 26 July.
The lower timeframe bullish sentiment might not yield a breakout past the $8.8 or $9 levels, but it highlighted the possibility was there. Traders can expect rejection for Chainlink in the $8.5-$8.8 zone, but a move higher would require the outlook to shift bullish once more.