Chainlink (LINK) Price Prediction and Technical Analysis: Whales Are Accumulating Before the 18% Crash

Chainlink price is currently facing indecision, with investors divided between bagging more tokens and offloading before the inbound 18% crash. However, several whales on centralized exchanges are playing the long game and have set their buy limit order at crucial price points in anticipation of the price drop.

Chainlink (LINK) price showcased a minor decline during the New York trading session, dropping by 1.8% and trading at $10.37. This downturn follows a 24-hour gain of 0.8%, where the LINK price hovered around $10.55.

Chainlink price faces indecision, with investors debating whether to accumulate more tokens or sell ahead of an anticipated 18% crash. Several whales on centralized exchanges are playing the long game, setting their buy limit orders at key price points in preparation for the price drop.

Chainlink’s fundamentals remain bullish, with increasing adoption of its technology by DeFi and TradFi institutions. At the time of writing, Chainlink price risks further decline, with technicals leaning toward a bearish continuation.

Chainlink Price Set For Extended Drop?

LINK price hovered around $10.37 during the New York trading session, a 1.8% drop in the last 24 hours. Looking at the Chainlink price chart, the overall trend appears to be down, with the 200 EMA (black line) positioned well above the current price level.

Chainlink price struggles to break above the 50 EMA (green line) and 21 EMA (red line), which act as dynamic resistance levels. However, if bears drive prices lower, LINK could find support at $9.00, marked by previous lows.

Chainlink price action shows indecision, with small-bodied candles forming near the apex. This usually indicates a potential breakout, although the direction is unclear.

However, the daily timeframe chart shows the bear pennant forming. In this bearish pattern, the symmetrical triangle has a higher probability of breaking to the downside, which could lead to further bearish sentiment.

The Relative Strength Index (RSI) is neutral, around 50, which supports the consolidation view and indicates that the market is neither overbought nor oversold.

The 21 and 50 EMA are close to each other, signaling that the market is consolidating. Chainlink price prediction shows that a breakout above these moving averages could trigger a bullish move, invalidating the bearish thesis if the price breaks and maintains above the 200 EMA ($11.90).

Whales Are Buying LINK At These Prices

As the broader market panics over recent Bitcoin volatility, with recent analysis predicting that BTC price could drop to $54,000, whales are targeting lucrative prices to add more LINK tokens to their portfolios. This Liquidation Map (LM) from Coinglass shows that the cumulative Short Liquidation Leverage is substantially higher than Longs. This indicates that more traders are Shorting LINK on Futures.

The difference between Shorts and Longs shows that bearish sentiment dominates the Chainlink market, as traders expect further downside potential.

The above is the detailed content of Chainlink (LINK) Price Prediction and Technical Analysis: Whales Are Accumulating Before the 18% Crash. For more information, please follow other related articles on the PHP Chinese website!