• Chainlink price jumps 5% in just two trading days.
  • LINK price action uses a window of opportunity as tail risks diminish by global fatigue.
  • With only six more weeks remaining in 2022, traders place their last bets to compensate for some losses.

Chainlink (LINK) price action is jumping higher this Tuesday as markets are seeing some positive elements coming from all angles. Dovish comments on Monday from the Fed’s Brainard, the dollar weakening, Zelensky opening up the dialogue for peace talks, Biden-Xi meeting not seeing tensions ramp up. Take your pick on the reason or combination of reasons why suddenly markets flip the switch toward risk-on, but it is certainly a good thing for LINK price action.

LINK price could be seen hitting $7.50 soon

Chainlink price action has pure technical positives and some good cards in the game for more upside potential. First, price action was underpinned by the drop to the downside on Monday at $5.70, which falls in line with the low of July 10. That has created a swing back up, and from the looks of it this is turning into a bit of a rally.

LINK price action first will need to face the monthly S1 at $6.68, which could still trigger a rejection back to the downside. Once that hurdle is cleared, the road is wide open to hit $7.50 at the monthly pivot, holding 17% gains. Interesting in that area is the 55-day and the 200-day Simple Moving Average coming in toward each other near that level, which could trigger another bullish follow-through once broken above.

LINK/USD daily chart

LINK/USD daily chart

Still there are quite a lot of devils in details. After the XI meeting, Biden came out saying that China is not set to invade Taiwan anytime soon. The statement did not mention that China has scrubbed the plans. This is similar to Ukraine, where Zelensky asked for peace talks, but the US and Russia already held some that did not bear any progress. Expect, with these black Swan events, a quick correction to the downside should violence flair up again. $5.26 to $5.02 is a sandbag that might catch any crashing price action in Chainlink.


Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Recommended content


Recommended Content

Editors’ Picks

Bitcoin Price Forecast: Analysts anticipate increased volatility as the US presidential election looms

Bitcoin Price Forecast: Analysts anticipate increased volatility as the US presidential election looms

Bitcoin price teased its all-time high of $73,777 last week but declined to trade below $69,000 on Monday. Analysts suggest that market volatility is expected to rise as the US presidential election approaches.

More Bitcoin News
Litecoin poised for double-digit decline after breaking ascending trendline

Litecoin poised for double-digit decline after breaking ascending trendline

Litecoin breaks and closes below an ascending trendline, signaling a change in market structure. On-chain metrics paint a bearish picture, as LTC’s dormant wallets are active, and the NPL indicator shows a negative spike.

More Litecoin News
Top 3 Price Prediction Bitcoin, Ethereum, Ripple: BTC, ETH and XRP decline ahead of US elections

Top 3 Price Prediction Bitcoin, Ethereum, Ripple: BTC, ETH and XRP decline ahead of US elections

Bitcoin (BTC), Ethereum (ETH), and Ripple (XRP) all faced resistance at crucial levels ahead of the US Elections, leading to a price decline. As of Monday, they neared key support levels, and a firm close below these marks could signal further declines.

More Cryptocurrencies News
21Shares files S-1 for XRP ETF amid ongoing tension between Ripple and SEC

21Shares files S-1 for XRP ETF amid ongoing tension between Ripple and SEC

21Shares filed an S-1 registration with the Securities and Exchange Commission (SEC) on Friday for an XRP exchange-traded fund (ETF). While the chance of approval is slim with the current SEC administration, the landscape could change after the upcoming elections.

More Cryptocurrencies News
Bitcoin: New all-time high at $78,900 looks feasible

Bitcoin: New all-time high at $78,900 looks feasible

Bitcoin price declines over 2% this week, but the bounce from a key technical level on the weekly chart signals chances of hitting a new all-time high in the short term. US spot Bitcoin ETFs posted $596 million in inflows until Thursday despite the increased profit-taking activity.

Read full analysis
Best Forex Brokers with Low Spreads

Best Forex Brokers with Low Spreads

VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.

Read More

BTC

ETH

XRP