Chainlink Consolidates in Triangle Pattern as Traders Watch for Breakout
Chainlink (LINK) is trading near a significant demand zone after facing substantial selling pressure in Q1. The broader market's macroeconomic instability and geopolitical tensions have affected LINK, leading to its current struggles.
- LINK has lost nearly 30% of its value since late February.
- The $13 mark is crucial support that must be maintained for a potential recovery.
- Analyst Ali Martinez noted a triangle pattern forming on the chart, suggesting an imminent price move; a breakout could lead to a 35% increase, with $16 as a key level to watch.
- Despite selling pressure, bears have not broken LINK below the demand zone, leading to cautious optimism among traders.
- If LINK maintains support above $13, it may push towards higher liquidity zones.
Current trading price is approximately $13.5, with bulls needing to hold this level to avoid further downside. A breakthrough above $17.20, aligning with key moving averages, could signal a trend reversal. If LINK fails to reclaim these levels, it risks deeper corrections, particularly if it drops below $12.5.
