The current sentiment in the cryptocurrency market remains highly volatile and uncertain. Amidst this backdrop, Chainlink (LINK) has displayed a promising uptrend on its daily chart, signaling a possible surge in its price.
Along with the positive price action, LINK’s on-chain metrics and overall market sentiment are adding further support to its bullish outlook.
Analysis of Price Action and Key Levels
Analysis by CryptoCrypto indicates that LINK has successfully retested the breakout level of an ascending triangle pattern on its price chart. The current trend suggests an upward movement, with potential for a significant increase in value.
Based on recent price movements and past momentum, there is a strong likelihood that LINK could see a 35% surge, potentially reaching $19 in the near future.
Currently, LINK is trading above the 200-day Exponential Moving Average (EMA) on the daily chart, signaling an uptrend. Moreover, the Relative Strength Index (RSI) indicates possible upward momentum in the days ahead.
Positive On-Chain Metrics
In addition to technical analysis, on-chain metrics are also supportive of LINK’s bullish trajectory. According to data from Coinglass, LINK’s Open Interest (OI) has increased by 9.5% in the last 24 hours, with a continued upward trend.
The rising OI signifies growing interest from traders and an increase in open positions, indicating a positive sentiment towards the asset.
Significant Liquidation Levels
Presently, major liquidation levels are observed at $13.55 and $14.40, with traders holding excessive leverage at these points.
If the price reaches $14.40, approximately $2.44 million worth of short positions could be liquidated. Conversely, a drop to $13.55 could lead to the liquidation of nearly $5.10 million worth of long positions.
The combination of on-chain metrics and technical analysis suggests a prevailing bullish trend for LINK, potentially propelling the asset towards the projected price level in the upcoming days.