Chainlink price could invalidate its macro uptrend if bulls fail to defend one key level
Chainlink price has seen mass-selling pressure over the past few weeks, with buyers failing to control its medium-term trend in time after being rejected at $ 20. LINK is now breaking down definitely below the previous support at $ 10 and appears to be in a precarious position as analysts track the next decline in the short term.
The Chainlink price is less than $ 10 when the seller maintains control
At press time, Chainlink price is trading down 10% at its current $ 8.8, marking a noticeable drop from the daily high of $ 10.6 established during a relief rally and seen yesterday.
After holding above $ 10 for a long time, LINK finally faced a massive influx of selling pressure that brought its price back to a multi-month low.
The last time LINK was trading this low was in early August, just before it arose a parabolic uptrend that caused ETH price to climb higher than $ 20. This marks a long-term high for the cryptocurrency, as it does fall harder since then, and there is little indication that any long-term support might be found.
Crypto trader Teddy has stated that a drop to $ 7.9 could be enough to help take it to an all-time high.
— yTedd (@TeddyCleps) September 21, 2020
While talking about the cryptocurrency’s short-term outlook, Bitcoin analyst Jack explained that Chainlink is currently in danger of breaking out of the parabolic trend line formed based on its Bitcoin trading pair.
“Important note: lose current support, and it looks grim. Either way, LINK looks to provide some proper volatility and thus opportunity.”
If Chainlink falls below this level in the near term, it could create some headwinds that will hamper its growth against the USD pair.
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