The last trading month on the crypto market is filled with depression, sadness and dreams of price recovery. Low trading volumes and lower volatility of altcoins exacerbate bad investors sentiment. More and more participants in the crypto market are switching to the “red” side and stop believing in the continuation of the growth trend. We wrote about the beginning of the correction in the Chainlink market on 5 May, in our previous article.
Sellers even managed to overfulfill our targets and bring the price down to $15. However, this fall wave is in the past, and what can expect the LINK market in the near future?
If we analyze the global timeframe, we see that the LINKUSD price has been moving within the white growth channel since April 2019:
Critical point for LINK growth trend is the range of $17-19
The chart shows three global critical points, from which the price bounces steadily and changes the direction of the medium-term movement. Over the course of 2 years, buyers managed to test the upper global trend line of the growth channel three times. The LINK price has not been at the bottom of the trend channel since March 2020. Buyers decided to move the main trend support higher in the blue local channel. The chart shows that this channel exists from April 2020 and even today perfectly reflects all the seller’s attacks. While this dynamic channel is under the control of buyers, we will expect continued growth in the LINK market.
The second fact about the prolongation of the positive on the Chainlink market is the control by buyers $17-19. This range was all-time high in August 2020. Control of the previous all-time high indicates buyers’ ambitions to continue price growth in the medium term.
LINKBTC is steadily moving in the growth channel
Analyzing the LINKBTC chart, we can see that buyers’ global trend line is still under their control. LINKBTC price from January 2021 is growing and the trend looks quite confident:
Given the high probability of the BTC price stop in consolidation for several months, our main scenario for the LINK market is growth with the first target of $34-38. Having fixed above this range, we will expect a continuation of the growth wave and the all-time high update in the range of $77-80.
An alternative scenario of the LINKUSDT price movement will take effect after the price breaks out and fixes below $17.5. In this case, we would expect the Chainlink market to continue falling to the range of $8-9.
