Cryptocurrency analysis firm MakroVision has released its new technical assessment for the Chainlink (LINK) price. The report argues that LINK is still in a downtrend and is retesting a critical support area.
It is stated that the reaction to this level may play a key role in determining the direction of the price.
The red trend line used in the technical analysis of the analytics company continues to work as a dynamic resistance and there is no signal of a structure change so far. LINK price is at the intersection of the horizontal support in the range of $ 12.60–12.90 and the green ascending trend line.
However, according to the analyst firm, the $12.60-$12.90 range is a strong support area that has been tested many times before. Breaking this level could lead to a continuation of the downtrend. However, if the support holds, a short-term recovery and a higher low are possible. If the support is broken, the next strong support area stands out as the $10.80-$11.00 band.
On the resistance side, according to MakroVision, the $16.60–$17.20 range is considered the critical resistance area for a possible trend reversal. If this area is exceeded, a medium-term bullish momentum could be triggered.
Technical analysis chart shared by the analytics company.
*This is not investment advice.
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