Chainlink Price Adds 13%, Tracking ETH as Bulls Target $30

The Chainlink price is printing higher, tracking ETH/USD, as buyers look to breach Jan 2021 highs towards $30.

As of writing on Feb 4, the LINK/USD price is stable on the last day, adding 13 percent in the past week of trading.

However, candlestick arrangement and participation level suggest a possible close above critical resistance levels.

For instance, the average trading volumes on the last day are up 33 percent.

The uptick points to trader confidence.

Prices are printing higher, a base for possibly more upsides as buyers aim to punch higher, perhaps reach $30, or better in coming days.

Chainlink (LINK) Price Overview

The Chainlink is one of the top performers in the top -10, only trailing ETH prices on the last trading day.

From the daily chart, the first level of resistance is $24, or January 2021 highs. However, what’s bullish for traders is that LINK/USD is within a bullish breakout pattern, solid above $20.

Aggressive traders are angling for $30, expecting DeFi’s popularity to increase going forward, following the recent Wall Street versus Main Street debacle.

Ideally, the breakout ought to be with high trading volumes (interest) from market participants.

The LINK/USD price is supported by the 20-day moving average and $20 on the lower side. It has been the case for the better part of January 2021, guiding bulls until today when LINK has doubled versus the USD.

Accordingly, a better gauge for the LINK/USD uptrend is how strongly prices react at this flexible support line.

Chainlink (LINK) Market Overview

Chainlink is a decentralized and blockchain-agnostic oracle system.

The platform links external, real-world, and tamper-proof data for smart contract activation.

Consequently, Chainlink is an indispensable part of DeFi.

Billionaire Mike Novogratz believes Chainlink (LINK) is among the five DeFi tokens that will eventually replace the global giant, JP Morgan, and the bourse, NYSE.

He says:

“There’s a chance that those five blow up the world, not in the next week or the next month, but the next five years. Those are the tokens (including Chainlink) that want to take the banks and tear the banks’ limb from limb that wants to replace JP Morgan and the New York Stock Exchange, and so I put some money into those things. It’s much riskier, but if it works, it’s going to be a much bigger payoff.”

Over 200 DeFi projects use Chainlink as a guide against rug-pulls and other attack vectors.

With ETH’s surge, analysts think LINK is next:

$LINK will follow $ETH

— Koroush AK (@KoroushAK) February 3, 2021

Chainlink Price Prediction

The LINK price is up 13 percent week-to-date.

The middle BB (20-day moving average) provides immediate support, as visible from the daily chart.

Buyers are capped at $24, Jan 2021 highs. However, the LINK/USD is within an uptrend, trading within a bullish breakout pattern. Yesterday’s gains are with decent trading volumes, rewinding losses of late Jan 2021, and building on the breakout bar of Jan 22.

A close above $24 should preferably be with high trading volumes exceeding those of Jan 15. This will feed on buyers aiming at $30, the 1.618 Fibonacci extension level of the H2 2020 trade range.

Chart courtesy of Trading View

Disclaimer: Opinions expressed are not investment advice. Do your research.