- Chainlink remains pivotal at $15 following recovery from support at $12.
- LINK/USD appears to be on the verge of a breakout to $20 but we must wait for confirmation as the volume builds.
Chainlink is exemplifying great resilience following the breakdown from the 2020 high at $20. The price has continued to narrow below a descending trendline (forming part of the critical falling wedge pattern). Support was embraced remarkably above $12 with a reversal taking place above $15. An attempt was also made to bring down the resistance at $16 in a bid to open the road for gains eyeing $20 but LINK/USD hit a wall at the same $16 level.
Meanwhile, a shallow adjustment has taken place, sending LINK back to $15. An ongoing pivotal price action at $15 reflects the consolidation likely to continue in the short term. At the time of writing, LINK is exchanging hands at $15.14.
The RSI clearly highlights the strength of the sideways trading as it levels at the midline. The trend is also leaning towards the bullish side as shown by the MACD as it recovers from the dip to -0.7158 over the weekend session. Similarly, the bullish scenario is supported by Elliot Wave Oscillator as it starts printing another bullish session.
If bulls are able to hold above $15 and nurture the uptrend for a breakout past the falling wedge pattern, it would only be a matter of time before the price sails towards the critical barrier at $20. For now, sideways trading is the domineering trend but buyers seem unrelenting in their push for a reversal.
LINK/USD 4-hour chart
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