Chainlink (LINK) has recently completed a five-wave impulsive structure on lower timeframes, indicating the start of a classic corrective phase from A-B-C. This development has invalidated the previously observed overall inverse head and shoulders pattern.
🔍 Technical overview:
Current price: approximately $15.06.
Immediate support: $13.45, which aligns with a well-defined demand area.
Resistance levels: $14.20–$14.50 area.
The corrective phase indicates a temporary weakness in the market. If LINK's price drops below the key support and resistance area, a swift decline towards the $13.45 level is expected.
📈Long-term outlook:
Despite the current correction, Chainlink's fundamentals remain strong. The asset has shown notable stability after a strong impulsive move from the $13.5 area to the $18 area. Analysts are watching for the potential continuation of this trend as the price approaches key technical confluence areas.
🛠️ Trading strategy:
In the short term: Watch the support level at $13.45. A drop below this level may present short-selling opportunities.
In the long term: Look for bullish signals near the demand area at $13.45 for potential long entries.
*Disclaimer: This analysis is for informational purposes only and does not constitute financial advice. Please always do your own research before making investment decisions.*