Chainlink's price has emerged as a focal point for cryptocurrency analysts as the coin approaches critical technical levels that may determine its near-term direction. The oracle coin is currently trading at around $15.74, having surpassed $16 on May 23.
Technical analysis reveals that Chainlink is resisting a downward trend line that has constrained price movement since late 2023. Analysts are watching for a breakout above $17.20, which could push prices toward the next major resistance level at $19.50.
The chart structure shows that price lows have been continuously rising since April, indicating growing support levels. A bullish divergence pattern may be forming, as the asset confirms a structure between a low and a high, potentially signaling a trend reversal.
Development activity stimulates network growth
Chainlink has led digital asset development activity over the past thirty days, according to Santiment data. The project recorded contributions and commits on GitHub more than Avalanche, Stellar, IOTA, and Injective combined.
This leadership in development stems from ongoing work on cross-chain interoperability protocols and reserve proof systems. These tools help transfer tokens and integrate existing assets outside of blockchain networks.
Frequent developer contributions indicate strong momentum for the project. Financial institutions are increasingly adopting tokenized products, making Oracle systems vital for pricing data and cross-chain communication.
■ Technical indicators support bullish expectations
From a technical perspective, LINK has recovered from its low of $12.50 and has broken the descending wedge pattern. The market is currently stabilizing near resistance levels as volatility diminishes.
Cryptocurrency analyst Avi identified an expanding descending wedge pattern on the daily chart. This pattern often indicates a potential trend reversal, as LINK tests the $16.50 level, which previously served as strong resistance.
A breakout from this pattern could lead to a 40-60% increase, potentially driving LINK towards a price range between $25 and $26. The convergence of the pattern with higher lows and increasing trading volume supports the thesis of a bullish reversal.
Relative Strength Index (RSI) indicators are rising but remain below the overbought zone. The MACD shows positive divergence, while the 20-day exponential moving average has crossed above the 50-day exponential moving average.
BBPower rose to 0.92, registering the first reading of its kind since mid-February. This shift indicates that buying pressure exceeds selling activity.
The weekly chart analysis shows that LINK is moving away from a downward trend that lasted for several months, which reached $10.07 in early 2025. The coin has regained higher levels and is now trading near $16.71.
The range of $16.00-$16.20 represents key support in the near term. As long as the price remains above this area, the technical structure is expected to remain stable for a potential upward movement.
The current market capitalization is approximately $10 billion, with a 24-hour trading volume of $324.9 million. This indicates strong liquidity and increasing engagement from traders during the recent price discovery.
If the LINK token closes above the wedge resistance level at $17.20, the next targets will be $22.00 and $30.00 based on previous trading patterns. However, failure to break through resistance could lead to a return to support levels around $14.50.
LINK is currently trading at $15.13, down 2.77% over the past 24 hours, within a broader market consolidation process, coinciding with Bitcoin's recent correction.
