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- LINK stock bounces off critical support level after years of maintenance
- The RSI heatmap revealed a lower average as the sector’s performance confirmed the bullish sentiment.
Chain Link [LINK], At the time of publishing this report, the price appeared to be recovering from a crucial support and resistance level on the charts – a level it has held for years.
A successful retest of this area could pave the way for LINK to reach new highs in the coming months.
Buying near the $12.71 area looked promising given the key support level there. In fact, the price recently reached the golden zone at around $9.8. This could signal a continuation of the upside if the $12.71 level is reclaimed as support.
However, there is a possibility of further decline to complete the bearish pattern. If the $9.39 level is broken this week, another test of the golden zone may occur.
Source: LINK/USD, TradingView
HTF Demand Zone for Altcoins
Altcoins have been on a strong recovery lately, with several posting significant gains over the week. Coupled with Bitcoin closing above $60,000 and Ethereum stabilizing, this could signal the start of a bullish cycle.
Altcoin prices rose after rejecting a key support area on its charts, suggesting it could be ready for more gains as well.
Monitoring LINK is crucial as it could perform exceptionally well in the coming months due to its role in decentralized data management.
Source: TradingView
Sector Performance in Cryptocurrencies
However, last week was a challenging one for altcoins, with many losing around 40% of their value compared to the previous week.
But nearly half of those losses have since been recouped. However, no single sector stood out, with most sectors moving in a similar vein, despite some bullish sentiment.
This broad-based recovery is a sign that Chain Link It is likely to participate in the uptrend of the current market cycle.
Source: Philo Protocol
‘lowest average’
Finally, the daily RSI heatmap for cryptocurrencies revealed that the average RSI was at its lowest level in a long time – at around 35% – which is normal in a bear market.
This can be interpreted as a signal that prices are at very low levels, making it an ideal time for traders and investors to buy.
However, it should be noted that these numbers can change quickly, as evidenced by the large price movements of various coins over the past week.
Source: Coinglass
