Chainlink Price Analysis: LINK rallies to $22.5 overnight, set for a slow retracement later today?

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  • LINK rallied to $22.5 yesterday.
  • Chainlink moved sideways earlier today.
  • Market set for another retracement.

Chainlink price analysis indicates bearish momentum to follow over the next 24 hours as further upside was rejected yesterday after a strong rally past the $21 previous monthly high.

Chainlink Price Analysis: LINK rallies to $22.5 overnight, set for a slow retracement later today? 1
Cryptocurrency heat map. Source: Coin360

The cryptocurrency market has traded with strong bullish momentum over the last 24 hours. Bitcoin is up by 6.67 percent, while Ethereum by 5.24 percent. Meanwhile, Binance Coin (BNB) is among the best performers, with a gain of 7.73 percent. 

Chainlink price movement in the last 24 hours: Chainlink rejects further upside around $22

LINK/USD traded in a range of $20.99 – $22.65, indicating mild volatility over the last 24 hours. Trading volume has increased by 52.58 percent and totals $1.6 billion, while the total market capitalization trades around $9.68 billion, ranking the cryptocurrency in 14th place overall.

LINK/USD 4-hour chart: LINK ready to retrace?

On the 4-hour chart, we can see the Chainlink price rejecting further upside over the last 24 hours, indicating an upcoming retracement.

Chainlink Price Analysis: LINK rallies to $22.5 overnight, set to retrace later today?
LINK/USD 4-hour chart. Source: TradingView

Chainlink price action traded with a strong bullish momentum over the last week. After a slightly higher swing low was set around the $13.5 mark, LINK/USD rallied by more than 60 percent until the $22.5 mark was reached yesterday.

 From the $22.5 mark, LINK/USD rejected further upside overnight and started to slowly retrace. As of now, the Chainlink price has returned below $22 resistance, with further downside likely to follow.

Overall, this price action development indicates that we will see bearish momentum take over over the next days. LINK/USD will likely retrace to retest the previous resistance around $22 as a support. From there, we could see another push higher next month.

Conclusion 

Chainlink price analysis indicates bearish momentum to follow over the next days as further upside was rejected earlier today after a strong rally yesterday. Therefore, we expect LINK/USD to retrace to the $20 mark and try to establish another higher low. 

While waiting for Chainlink to retrace, read our guides on DeFi advantages, Bitcoin fees, as well as an article on Satoshi Nakamoto.

Source: cryptopolitan.com

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