Chainlink (LINK) experienced a surge in trading volume and reached a three-month high of $8.44, but subsequently retreated amid market uncertainty. A leading crypto analyst believes that the altcoin’s failure to close above the macro downtrend line indicates possible fresh losses for LINK. The analyst stated, “Unless #LINK is able to reclaim this Macro Downtrend as support, price is positioning itself up for a rejection from here.”

Chainlink’s Price Analysis

The crypto analyst, known as Rekt Capital, identified a potential weekly close above the macro downtrend line as a bullish signal for LINK. However, the altcoin was unable to maintain this momentum and closed below the macro downtrend line. Rekt Capital shared on Twitter, “[LINK] has ultimately performed its new Weekly Close below the Macro Downtrend. As a result, the Macro Breakout is postponed.”

The current price of LINK is around $7.60, with minimal changes in the past 24 hours. While the altcoin experienced gains over the past week, these have significantly decreased to just 1%. LINK/USD has seen a 20% increase over the past 30 days.

If the price drops below $7.00, the next major support zone could be around $5.00, while key supply zones exist at $8.50 and $10.00.

Rekt Capital also highlighted that LINK’s recent price performance suggests the possibility of a relief rally to confirm the range high as resistance, potentially leading to further price declines.

FAQs

What is Chainlink?

Chainlink is a decentralized oracle network that enables smart contracts on blockchains to securely connect with real-world data, APIs, and payment systems.

What caused Chainlink’s recent surge in trading volume?

Chainlink’s surge in trading volume was due to positive network developments and increased interest from traders in the altcoin.

What is a macro downtrend line?

A macro downtrend line refers to a long-term downward trend in the price of an asset.

Summary

Chainlink (LINK) experienced a significant surge in price and trading volume, reaching a three-month high of $8.44. However, a prominent crypto analyst believes that the altcoin’s failure to close above the macro downtrend line indicates potential future losses. LINK is currently trading around $7.60, with minimal changes over the past 24 hours. If the price drops below $7.00, the next major support zone could be at $5.00. Additionally, the analyst suggests that LINK’s recent price performance may lead to further declines.