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Chainlink is “Gonna Boom,” LINK Utility will be Drivers to $80?

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crypto Technical Analysis for Mar 29 2021

Is this a harrowing, doom, and gloom situation for Chainlink?

Definitely not.

Instead of focusing on the expected, every-day swinging of LINK prices, analysts are zooming in on the impact of the past two weeks’ events.

Chainlink Market Performance

From the daily chart, the path of least resistance remains northwards.

The second most valuable DeFi token—only trailing UNI as coin trackers show—is trading within a bullish breakout pattern. In addition, the token has solid fundamentals. It mostly has the trait of being one of the few coins that have decoupled with Bitcoin.

LINK is down 10 percent against the greenback, equally losing ground versus ETH and BTC at the time of writing. Even so, Chainlink crypto buyers are still in control, reading from the candlestick arrangement in the daily chart.

Also, the accompanying trading volumes are lower than expected amid the contraction, an indicator of caution amongst traders, a move that props buyers.

Chainlink Daily chart for Aug 17

Overly, Chainlink technical analysis subtly directs LINK token buyers to possibly dig deeper on pullbacks, loading with targets at Q1 2021 highs of $54.

Note that LINK/USDT prices—as aforementioned—are trading within a bullish breakout pattern.

First, the surge above the middle BB—a former resistance now support line visible in the daily chart.

Second, the tear above July 2021 highs. The surge was encouraging with increasing trading volumes, a precursor for trend and even high volatility in the days ahead.

If then LINK buyers flow back, rejecting lower lows and bouncing off from the 20-day moving average in trend continuation, is Chainlink token price on the path of doubling its valuation?

Chainlink “To Go Parabolic”

At least, this is the position of one trader on Trading View.

In his daily chart analysis, the analyst says the LINK token is trading within a bullish breakout pattern above key resistances as led by the VAH.

Chainlink going parabolic

Following the breach above this liquidation line, of which the volumes profile indicator had marked out as a strong reaction level, the trader thinks LINK is about to go parabolic back to $50.

The reaction at $30 is a closely watched bulls versus bear contest. If anything, Chainlink bulls must overcome this level, paving the way for traders setting their targets above $50 in the medium term.

LINK/USDT Is “Gonna Boom” Soon

It is the same line of thought held by yet another trader on Trading View.

Per his analysis on the daily chart, LINK/USDT prices have formed a rounded bottom.

Chainlink gonna boom

The analyst expressly marks the zone between $30 and $33 as a liquidation zone.

Once this level is cleared, unbridling buyers, Chainlink prices are likely to add another $20, thrusting the token’s valuation to around H1 2021 highs.

Chainlink Bulls Could Push Beyond the All-Time High To $80

On YouTube, Crypto Profit thinks Chainlink’s utility, partnerships, and the recent integration with Arbitrum—Ethereum layer-2, would all combine to drive LI

NK’s demand.

He projects the Ethereum-based token to not only possibly spring above $30 but clear $54—H1 2021 highs, towards $80 and $100 in the coming few months.

Charts courtesy of Trading View

Disclosure: Opinion is that of the author. Do your own research.

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