Chainlink Price Analysis – August 13
The inability to break up the resistance level of $18 by the bulls may lead to bearish reversal; in which the 14, $11, and $8 are the support levels.
Resistance levels: $18, $22, $26
Support levels: $14, $11, $8
The daily chart shows clearly that LINK/USD is under the pressure of the bulls; it is not a surprise again that yesterday’s price of the LINk/USD change by 26.90%. The former supply level of $11 and $14 has turned to demand level when it was penetrated upside by the bulls. The resistance level of $18 was tested today. The price could not break up the level but pull back.
It looks like the bulls are losing momentum may be due to the lack of enough volume needed to break up the resistance level at $18. The technical indicator Relative Strength index period 14 is at the overbought zone and the signal line pointing downside indicates sell signal. The inability to break up the resistance level of $18 by the bulls may lead to bearish reversal; in which the 14, $11, and $8 are the support levels.
A move below $18.0 price level by the bulls may increase the short-term buying pressure and the next resistance levels maybe $18, $22 and $26.
Pairing LINK with Bitcoin, the market is dominated by the bulls. Immediately after the breakout from the consolidation zone, buyers give no room for the sellers. The price pulls back from the resistance at $18 and is currently trading at 143093 SAT and expecting the current candle to form a pin bar. In case the coin produces an inverted pin bar with a current candle, the bears may end up dominating the market.
Should the price drop below the current price, the next key supports may likely be at 120630 SAT, and 92243 SAT. On the bullish side, a possible rise could push the market above the resistance level of 159761 SAT and above. The market may experience a bearish reversal as the signal line moves above 75-level bending towards the south indicating sell. Sell stop may be placed at $15.5291, Sell stop at $18.8182 and Take profit at $12.3415.