Chainlink Price Primed for Potential Rally As Analyst Eyes $50 Target

• Chainlink price targeted $50 as rounding bottom formation, signaling a strong potential upsurge ahead.
• Technical indicators and an Open Interest surge hinted at bullish momentum.

Chainlink price was on the verge of another bullish rally and could see a massive upswing shortly. As of press time, the Chainlink crypto was trading at $23.42. This represented a 0.20% increase in the past 24 hours and a 12.20% gain over the past seven days.

The recent price surge has propelled LINK’s market cap to $14.95 Billion. That was supported by a 32% increase in trading volume, which reached $832.30 Million.

Notably, the LINK crypto price has also completed the declining wave ‘C’ and is set for a rally toward wave ‘D’. Will it succeed in shaping the wave ‘D’ or get rejected?

Chainlink Crypto Ready to Explode: What to Expect

Chainlink price was sustaining gains near the $24 level and was on the edge of displaying fireworks shortly. Following a breakout of the rounding bottom pattern, it decisively retested the zone and poised for a sharp rally.

Recent data from Cryptopig revealed that LINK’s chart setup looks bullish and undervalued.

A successful bounce above the $25 mark could open the doors toward the $50 mark. However, a rally beyond $50 could send the LINK price toward $120 in the short term.

Chainlink Crypto Adoption Rises

An assessment of LINK’s daily active addresses shows an uptick, and the metric value reached 3996. This noted a surge of over 1.23% in the past 24 hours.

Typically, a rise in active addresses means rising user participation and adoption among the participants with the crypto. Historically, such a rise in active addresses has been a bullish indicator. That often signals extended momentum and potential price surge ahead.

Moreover, data from IntotheBlock showed that 72% of addresses holding LINK were profitable at press time. With this, an acquisition cost below $23.47.

However, around 27% of addresses were facing unrealized losses. Clusters of profitable holders accumulated LINK between $13.95 and $20.08, marking this as a significant historical buying zone.

Can LINK Price Go Higher? Price Prediction and Market Outlook

On the daily timeframe, the Chainlink price continued to form higher highs and higher lows. Furthermore, the token gave strong support around the $20 mark.

However, altcoin was facing resistance at $25 and was struggling to breach this hurdle. During the week, multiple doji candlesticks were formed around the $25 resistance, which confirms the barrier there.

The LINK price rebounded from the $20 support zone based on its recent momentum. Moreover, it sustained beyond the key EMAs, guiding bullish price action.

At press time, LINK’s Relative Strength Index (RSI) was above the 50 threshold and still not reached the overbought zone. It signaled that the token has enough room for a further rally in the short term.

Furthermore, the futures Open Interest (OI) has risen over 5.89% to $775.69 Million. That depicted prolonged buildup activity in the past 24 hours.

Also, the OI-weighted funding rate remained positive at 0.0103%, directing sustained demand for long contracts. The immediate support zones were $21 and $19, whereas the resistance levels were $25 and $28.

Disclaimer

This article is for informational purposes only and provides no financial, investment, or other advice. The author or any people mentioned in this article are not responsible for any financial loss that may occur from investing in or trading. Please do your research before making any financial decisions.