BEARISH 📉 : Chainlink risks 50% drop if critical support level breaks

Chainlink (LINK) is nearing a critical support level around $10, raising concerns of further downside risk. A break below this area could shift the market sentiment to bearish.

Technical Analysis

A head and shoulders pattern has formed on LINK's weekly chart, indicating potential bearish momentum if the neckline support fails.
The neckline support, currently between $10 and $11, is crucial for maintaining the current structure.

Potential Price Movements

If LINK breaches the neckline, the price could target the $4 to $5 range, representing a 50% drop from current levels.
An intermediate support level around $7.15 may prevent a sharp decline to the lower target.

As of now, LINK trades at $11.98, with recent short-term fluctuations. Monitoring the support zone is essential for assessing future price action.

Chainlink Price Chart