Chainlink Price Prediction: LINK Drops After Failing To Cross 20-day SMA
Daily Chainlink LINK Technical Analysis
- Chainlink price has now dropped below the $30 line.
- LINK has had a bearish session after two straight bullish sessions.
On May 30 and May 31, the Chainlink price jumped from $25 to $32, after bouncing up from the 200-day SMA. Following this jump, LINK encountered resistance at the 20-day SMA and dropped to $29.75.
Chainlink Price Drops Below $30
Despite failing to cross above the 20-day SMA, the MACD has reversed completely from bearish to bullish. So, could this be a temporary setback before the buyers take back control and break the price above the 20-day SMA? Only time will tell.
Image: LINK/USD daily
Now, let’s look at Into The Block’s IOMAP, we can see that the Chainlink price faces immediate support at the $29 line. Previously, at this level, nearly 11,200 addresses had purchased almost 30 million LINK tokens.
Chainlink Inflows Are Higher Than Before
"Chainlink is close to a key resistance level as we speak, and daily active deposits and exchange inflows are high. $LINK trader returns are at their lowest levels since Sep, 2020, which usually indicates a good buy spot"
Chainlink Price Looks Good….When You Zoom Out
JY Charts observed:
“Slow chop upward so far but still looks good. Would like to see this developing channel support hold though.”
Chainlink Price Is Expected To Reach These Levels
The $29 support needs to hold strong to prevent a further drop in further valuation. However, the upside for Chainlink price is capped by the 20-day SMA.