Chainlink (LINK) Hits New Low, But Bullish Signals Hint at an Impending Breakout

Chainlink (LINK) has been hit hard by recent market volatility, plummeting 36% over the last 30 days and nearly 25% in the past week.

Chainlink (LINK) has been battered recently by market volatility, dropping 36% over the last 30 days and 25% over the last week. The price fell to a low of $13.47 today as bearish sentiment crashed the market. However, with recent signs of stabilization, LINK is drawing attention once again, hinting at a potential recovery.

At the time of writing, Chainlink is trading at $14.32, reflecting an 8.11% drop in the last 24 hours. The token holds a market capitalization of $9.14 billion and a 24-hour trading volume of $1.22 billion.

Despite its struggles, analysts suggest that LINK is approaching a critical reversal point that could spark a new bullish phase. As this occurs, investors and traders will be keeping an eye on Chainlink to confirm.

Chainlink Is Still In Bullish Structure

Satoshi Flipper, a well-known crypto trader, pointed out that LINK’s descending channel consolidation remains intact, with diagonal flag support holding strong. This formation suggests that the asset is still within a bullish structure despite its recent downturn.

“Very sweet entry right here,” the trader added as he highlighted the current price range.

$LINK/usdt DAILYThis bullish descending channel consolidation is still firmly intact for $LINK w/ diagonal flag support holding strong. Very sweet entry here 🤫CNT: @Chainlink

Flipper noted that traders see the current price range as an attractive entry point, anticipating a potential breakout.

If the breakout fails and LINK drops below the crucial support, it could spell further trouble for the token.

Chainlink Could Rise To $35

Further supporting this outlook, Rose Premium Signal’s analysis highlights that LINK has found strong support at the 0.786 Fibonacci retracement level, a crucial zone where price reversals often occur. The token is now attempting to break above a descending trendline, if successful, this move could confirm the start of a new bullish wave, setting the stage for significant upside.

If LINK manages to break out, the analysis predicts that the next logical price target is $35. This level represents a major resistance zone, and surpassing it could trigger a sustained rally.

However, if the breakout fails and LINK drops below the 0.786 Fibonacci level, it could spell further trouble for the token.

With the market showing early signs of stabilization and LINK finding support at key technical levels, the next few days could be crucial in determining its price trajectory. As Chainlink regains traction, investors and traders will be watching closely for confirmation of a bullish breakout. If momentum builds, LINK could be poised for a strong comeback, making it a token to keep on the radar in the coming weeks.