- The Chainlink price may underscore the promise of an increase that could be anywhere between 18% and 40% next month, AMBCrypto analysts reported. This increase can be supported by the possible listing of the project by Grayscale Investment company. While the rumor has gained some credibility lately, Grayscale has not yet announced that these assets are listed.
At the time of this writing, LINK is trading at $ 21.42 with a market capitalization of $ 8.6 billion, making it the seventh largest cryptocurrency. After recording a 3.2% increase over the previous week, the oracle platform token may soon witness another surge.
The accompanying chart highlights that Chainlink is in the parallel channel model with a large bearish trend. The price approached the upper trend line, but failed after two attempts. These initiatives, however, were what pushed LINK past its previous ATH to its new ATH for $ 25.8. Since reaching the new ATH, LINK’s price has seen a decline towards the lower trendline of the parallel channel where it is currently located.
Will the LINK price rise according to the technical indicators?
Not only is the price supported by the lower trend line of the channel, but the short-term EMA [yellow] also prevents the price from falling. Therefore, the price seems to be prepared for a jump.
Adding more credibility to this bounce, the RSI and the Stochastic RSI highlighted a decline towards the oversold zone and loss of downside momentum. Finally, the MACD indicator is well below zero on the 6-hour chart and shows no signs of rising.
There are two scenarios
Overall, LINK’s price is falling on the charts, but considering the supports mentioned above, the bullish scenario also makes sense. There are two scenarios for how the price might evolve.
In the first scenario, the price will bounce off the channel’s lower trendline or the mid-length EMA [blue] and rise upwards. This uptrend will have the potential to raise the price between $ 25.8 and $ 30.8, up 18% to 40%.
Continuation of the downtrend after closing below the lower trend line could bring the price down to $ 19.4 or $ 18.2. This improvement means a 10% to 15% drop from its current price.