Chainlink Price Forecast: LINK targets $25 amid rising whale activity
Chainlink (LINK) trades higher at $16.45, up by over 2% at the time of writing on Thursday, mirroring the wider cryptocurrency market recovery, with Bitcoin hitting a new all-time high. On-chain data reveals rising support from whales, reinforcing the bullish sentiment. The technical outlook signals a potential inverted head and shoulders pattern breakout in LINK, adding further upside potential.
Chainlink targets $25 with a trend reversal pattern
Chainlink trades at $16.45 at the press time, building over the 2.48% jump on Wednesday. With the second positive candle, LINK exceeds the 200-day Exponential Moving Average (EMA) at $16.01, targeting a surge to the $18 supply zone.
The overhead zone at $18 keeps the LINK price within a high-volatility price range with a lower boundary at $10.93. However, the gradual surge in underlying bullishness leads to an inverted head-and-shoulders pattern in the daily chart, signalling a potential trend reversal.
The bullish pattern is highlighted in the technical chart below, with the ongoing price recovery aiming to form the right shoulder. A 40% bullish breakout target is calculated by extrapolating the pattern’s depth over the breakout point, targeting $25.34. Notably, this coincides with the 78.6% Fibonacci level, retraced over the 63% drop from $29.26 to $10.93 between December 15 and April 8.
The Relative Strength Index (RSI), at 58, takes off from the midline, signalling a surge in buying momentum. Moreover, the rising RSI shows room for growth as it maintains distance from the overbought zone.
