Chainlink bulls back in control, pushing LINK price into a 26% uptrend

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  • Chainlink price is going for a breakout to the upside with a break of the $30 barrier.
  • Just above, buyers face a double secured resistance level. 
  • With the uptrend confirmed by the 55-day SMA, a pop higher will happen soon.

Chainlink (LINK) is gaining traction after buyers faded in between $24 and $27. With the clear breach of $30 to the upside, it is only a matter of time before $31.30 breaks as well and buyers will see upside potential up to 26% if they manage to stay in control. 

Chainlink price is ready for a flood of buyers pouring in

Chainlink buyers have pushed price action above $30.21. That level goes back to June 5, and price action has been very choppy around this region, with a few false breakouts at the beginning of September. LINK retreated below it but has been testing the level again the past few days for any upside. The break came on Tuesday, and now buyers will try to hold price action above $30.21 as this should now be turned into support and in their favor.

On the upside in LINK, buyers face a double whammy in resistance with $31.26, a double top from September 2, and just above there around $31.50, the R1 monthly resistance level. That level has been broken once to the upside and once to the downside, but no real clear price reaction has been seen. It is interesting to see if buyers can push Chainlink above it and stay above there for longer.

LINK/USD daily chart

LINK/USD daily chart

Once LINK is secure above $31, expect an attempt to $33. That is again a double top formation from June 1. As that level has already been chopped up, expect some short-term resistance but not at its full potential. Once beyond there, it is not that far off to the high from April 28 at $38.40

In case sellers should keep the double resistance level in place at $31, expect a push lower again toward the 55-day Simple Moving Average as support.