Chainlink (LINK) Price Prediction: Megaphone Pattern Hints at a 300% Rally

Chainlink LINK $13.10 24h volatility: 0.9% Market cap: $8.35 B Vol. 24h: $1.09 B

Key Points

* 14th-largest cryptocurrency, LINK, drops 9.55% amid 24h vol soaring 28.64%.

* As market cap falls to $8.16 billion, LINK suffers 31% loss over the past month.

* Weekly chart shows major bullish pattern: megaphone formation with upper boundary at higher highs since November 2022 and lower boundary linking lowest points since July 2023.

* This pattern usually leads to powerful rebound when price reaches lower support zone.

* Currently approaching lower boundary of megaphone pattern.

* Sharp rebound could see price surging toward resistance at $30, coinciding with 50% Fibonacci retracement level.

* Breakout above this resistance could pave way for surge toward $45—300% rally from current levels.

* However, breakdown below lower boundary would invalidate bullish thesis, pushing LINK toward critical support at $5.57, a strong level seen between 2022 and 2023.

Relative Strength Index (RSI) has dipped to 34.28, suggesting an entry into oversold territory. If the value falls below 30, it could indicate that LINK is undervalued and may be primed for recovery.

Meanwhile, Chainlink price action is testing the support at the lower Bollinger Band at $12.46. If this holds, a rally toward the upper Band at $18.76 is likely in the short term.

The 20-day Exponential Moving Average (EMA) is positioned at $15.64. This level is a key short-term resistance.

A decisive move above the 20-day EMA could confirm bullish momentum, allowing LINK to retest higher levels. Notably, the failure to reclaim this level could see further downside pressure.

Chainlink and the Trump Administration

Arkham data reveals that wallets linked to the United States government hold over $1.28 million worth of LINK.

Earlier, President Donald Trump announced that the US Crypto Reserve would include all the digital assets that the government has seized over the past few years.

Trump has been focusing on “Made in America” cryptocurrencies, and LINK stands to gain a lot under his administration. Chainlink co-founder Sergey Nazarov recently attended Trump’s White House Digital Asset Summit.

During the event, Nazarov praised Trump’s crypto-friendly approach and highlighted the importance of the US leading the next evolution of the financial system with blockchain and Web3 infrastructure.