Chainlink price analysis 13 Jan: Is a rally to $35 likely?

Chainlink remains stuck in a large range, with resistance at $30

Chainlink has gone against the stream in the first few days of 2022 and risen by more than a quarter, while bitcoin is down roughly 8% and ether more than 10% during the same period. This suggests that investors seem to be bullish on the fundamentals of Chainlink.

In its yearly report, The Year in Chainlink 2021: 7 Pillars of Momentum, the oracle network highlighted that it started 2021 with a total value secured (TVS) of $7b, which soared to $75b in value by the end of the year. Chainlink also said its ecosystem encompasses more than 1,000 projects, with over half of the integrations happening in 2021.

Recently, Personal Corner, a platform founded by NFL star Dez Bryant, integrated chainlink data feeds to build dynamic non-fungible tokens that will change appearance according to player performance.

Could Chainlink go up based on strong fundamentals and new partnerships? What do the charts suggest? Read the LINK price analysis to find out.

Chainlink weekly chart
Chainlink weekly chart. Credit:

Chainlink price technical analysis: weekly chart

LINK’s price collapsed from $52.74 to $15.11 within two weeks in May of last year. Since then, the price has been consolidating in a large range between $15 and $35. 

The bears attempted to pull the price below the range in early December, but the bulls did not relent. Strong buying near the support started a relief rally that has reached the 50-week simple moving average (SMA).

Both moving averages are flattish, and the relative strength index (RSI) is near the midpoint, indicating that the range-bound action may continue for a few more weeks.

If buyers push and sustain the price above $29, the LINK/USD pair could rally to the overhead resistance at $35. If the price turns down from this level, the consolidation may extend for a few more days.

What is your sentiment on LINK/USD?

Vote to see community's results!

If bulls drive and sustain the price above $35, the pair could rally toward the all-time high. A break and close above this level could signal the resumption of the uptrend.

Contrary to this assumption, if the price turns down from the current level, the bears will again attempt to pull the pair to the support at $15.

Chainlink daily chart
Chainlink daily chart. Credit:

Chainlink price technical analysis: daily chart

LINK’s price broke above the moving averages on 3 January, and since then, the bulls have not allowed the pair to dip below the 20-day exponential moving average (EMA). This suggests that the short-term sentiment has turned positive and traders are buying on dips.

The rising 20-day EMA and the RSI in the positive zone suggest that the path of least resistance is to the upside. If buyers drive the price above $30, the pair could rally toward $38.18. 

Conversely, if the price turns down from the current level and breaks below the 20-day EMA, it will suggest that supply exceeds demand. The pair could then drop to the 50-day SMA. If this level also cracks, the next stop could be $19.

Chainlink: Buy or sell this week?

Chainlink’s price analysis shows that the bears are attempting to defend the overhead resistance at $30. If the price rises from the current level or the 20-day EMA, the bulls will try to push the pair above $30. If they succeed, the rally could extend to the overhead zone of $35 to $38. This positive view will invalidate in the short term if the pair breaks below the 20-day EMA.

The views and opinions expressed in the article are those of the author and do not constitute trading advice. Trading and investing involve substantial risks and you should do your own research or contact your financial adviser before arriving at a decision. 

Daily change
Low: 7.668
High: 8.22149

Further reading

The material provided on this website is for information purposes only and should not be regarded as investment research or investment advice. Any opinion that may be provided on this page is a subjective point of view of the author and does not constitute a recommendation by Currency Com Bel LLC or its partners. We do not make any endorsements or warranty on the accuracy or completeness of the information that is provided on this page. By relying on the information on this page, you acknowledge that you are acting knowingly and independently and that you accept all the risks involved.
iPhone Image
Trade the world’s top tokenised stocks, indices, commodities and currencies with the help of crypto or fiat
iMac Image
Trade the world’s top tokenised stocks, indices, commodities and currencies with the help of crypto or fiat
iMac Image