Chainlink (LINK) Faces Rejection at $20, More Downswings Today?

ByDawn Pipkin

Dec 12, 2021
  • Chainlink seems ready for plummets toward $19.00
  • The nearest support areas stand at $19.00
  • LINK encounters critical resistance around the $20.00 level.

Chainlink (LINK) bulls faced massive hurdles from sellers as they failed to trigger upward climbs following a surge past the $20.00-level. However, LINK bulls showed resilience as the coin trades near this level.

The overall crypto market witnessed mixed sentiment within the past 24 hours as most top coins show either negative or positive movement. Leading players are NEAR with a 10.81% ascent and LUNA with its 5.79% plummet.

LINK Bulls Battle for Control at $20

What about technical indicators? The MACD sustains bullishness at the moment with a green histogram. Nevertheless, it displayed a crossover early on Sunday with a low histogram height at this publication, confirming fading momentum. Meanwhile, price actions encounter resistance around the $20.00 level. If LINK surges past this level, MACD will present a considerable uptick in bullish momentum.

The Exponential Moving Averages (EMA) hovers low at the moment as LINK saw a massive bearish activity within the past few days. Chainlink’s crash to $18.16 from $23 confirms the bearish momentum weighing on the Exponential Moving Average.

Nevertheless, bulls bounced from the $18.16 support to the $20.0 mark. That had the EMAs returning to the mean-line. The EMAs close their gap, indicating low momentum to either side.

Meanwhile, the Relative Strength Index stays neutral near the mean level at 50-units. The indicators waver at 47.41-mark, confirming low pressure in the market. Nevertheless, the indicator’s neutral position indicates that Chainlink has chances to move towards either direction in the near term.

The Bollinger Bands remain narrow and projects more convergence as Chainlink seems to consolidate beneath the $20.00 mark. For now, the bands indicate that the altcoin’s volatility might drop in the near term. The bands’ mean-line builds a resistance at $20.06. Meanwhile, the bottom line presents bulls’ support barrier at $18.24.

LINK /USDT – Technical Analysis

Chainlink’s 4hr chart shows a massive sell sign as half of the 26 top technical indicators display bears favoritism. Only four indicators flash bullishness, confirming low buying activity at the moment. At this publication, the remaining nine LINK indicators presented no signals. Bulls have to overcome the massive sellers’ resistance at $20 for a recovery rally towards $23.

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