LINK May Undergo a Bearish Trend Reversal Soon
Over the past few days, LINK has maintained a consolidation phase, trading within the range of $10.635 to $11.785. Earlier today, there was a breakout on the 1-hour chart, causing LINK to briefly move out of this sideways price channel. However, bears swiftly pushed LINK's price back into the channel.
Nevertheless, there is still potential for the altcoin to break free from its consolidation phase in the next 24-48 hours. If LINK manages to close a daily candle above $11.785 within the next two days, it could potentially continue its ascent and reach $13.325.
It's important for investors and traders to be aware of a medium-term bearish rising wedge pattern on LINK's daily chart, indicating the possibility of a correction occurring sometime in the next week.
Adding weight to this bearish outlook is the daily Relative Strength Index (RSI) indicator, which has entered the overbought territory. Traders may interpret this as a signal to sell, potentially leading to an influx of short positions being initiated for LINK over the next few days.
If this bearish scenario materializes, LINK's value may decline to find support at the immediate level of $10.635. Subsequently, sustained selling pressure could drive the cryptocurrency's price further down to the next support level at $9.175 in the following week.
Nevertheless, there is still potential for the altcoin to break free from its consolidation phase in the next 24-48 hours. If LINK manages to close a daily candle above $11.785 within the next two days, it could potentially continue its ascent and reach $13.325.
It's important for investors and traders to be aware of a medium-term bearish rising wedge pattern on LINK's daily chart, indicating the possibility of a correction occurring sometime in the next week.
Adding weight to this bearish outlook is the daily Relative Strength Index (RSI) indicator, which has entered the overbought territory. Traders may interpret this as a signal to sell, potentially leading to an influx of short positions being initiated for LINK over the next few days.
If this bearish scenario materializes, LINK's value may decline to find support at the immediate level of $10.635. Subsequently, sustained selling pressure could drive the cryptocurrency's price further down to the next support level at $9.175 in the following week.