LINK - 1D. We expect a retest of the range of $22-24

26 Mei 2021

We haven't updated our thoughts on the LINK coin for a long time. Our last idea for the scenario of a local fall worked, but it was a short-term target:

However, after that, the LINK market was waiting for a powerful collapse, during which the price hit the mark of $15. The reason for such a powerful fall was two massive liquid zones, in which there were a large number of buyers stop orders. The first powerful impulse for the fall occurred after the breakout of the white trend line of buyers:

Buyers held this trend line from January 2021 and confidently defended it 4 times. The loss of control over the white trendline of buyers triggered a wave of decline in the important price range for LINKUSD $22-24. The importance of this range was noticeable back in January 2021:

Before the test of this range in January, buyers found it difficult as the resistance increased significantly. This is noticeable in terms of trading volumes. However, just below this range was the second liquid zone of buyers' stop orders. Having touched it, the LINK price made another wave of decline, which tested the mark of $15. The positive thing in this situation is that in a few days the buyers managed to significantly rehabilitate themselves and raise the price by 100%. Thus, the price of LINKUSDT is now trading in the range of the previous all-time high of $32-35.

On May 20, sellers managed to keep this range and this became the reason for the continuation of the fall. For a confident continuation of the LINK price growth with a target of $42, we will expect a retest of the range of $22-24. If the local fall wave passes without much aggression, then we will gladly buy LINK from this range.

This scenario is confirmed by the LINKBTC chart:

The chart shows that buyers have kept the price of LINKBTC within the channel and the prospect of continued growth is quite high. However, without price fixing above the liquid range, we would not be in a hurry to buy Chainlink.