Chainlink Price Prediction: LINK/USD is 2020 breakout cryptocurrency, eyes $30 in the near term

Although Bitcoin broke out a tight range that gave way to massive gains hitting levels above $12,000, the cryptocurrency of the year is actually Chainlink. Within a short period, Chainlink has grown to become the fifth-largest cryptocurrency in the market. In addition, LINK has grown in value to hit all-time highs at $20. Chainlink is currently bigger than Bitcoin Cash, Litecoin and Bitcoin SV.

I’m sure you are wondering what is behind this cryptocurrency crazy rally? Well, many attribute the surge to the going decentralized finance (DeFi) craze. DeFi refers to decentralized finance applications that allow borrowing and lending of cryptocurrency assets in addition to speculation, otherwise referred to as yield harvesting. Chainlink says that it is at the center of the DeFi because of its live price feeds to DeFi apps which aid in powering almost all the public blockchain derivatives.

Besides DeFi, LINK has one of the most vibrant cryptocurrency communities in the industry. They have even been baptized the ‘LINK Marines’ perhaps to mimic Ripple’s XRP Army. The community is dedicated to promoting the cryptocurrency on social media making sure that Chainlink is the topic of discussion.

Chainlink technical analysis

Chainlink has been on an upward roll as seen on the chart. After hitting an all-time high at $20, a minor retreat saw LINK/USD confirm support at $14.00. Recovery is underway with Chainlink trading marginally above $17. Glancing upwards, resistance is expected at $18 as well as the critical barrier at $20. A break above this resistance zone would mark the beginning of the journey to $30.

The sideways moving RSI suggests that consolidation will take place before Chainlink breakout above $20. Selling activities are highlighted by the Elliot Wave Oscillator as it prints a bearish another bearish session. For now, an ascending channel seems to be holding the price in check, however, in case losses progress, LINK will seek support at the 50 SMA on the 4-hour chart, $14.00 and the 100 SMA at 13.25.

LINK/USD 1-hour chart