Is Chainlink Going to Crash? LINK Price Turns Red as New Mining Protocol Takes the Limelight

cryptonews.com:

Chainlink price turns red as LINK price analysis reveals localized retracement in aftermath of cross-chain stablecoin infrastructure rally.

The downside move comes after a joint announcement with Circle on January 16 triggered a +11.38% move on the chart.

$LINK testing the drop-off#altcoins https://t.co/b0eDYjD1xl pic.twitter.com/KNcNxN26kD

— DoopieCash® (@DoopieCash) January 22, 2024

Now in minor localized retracement following the uptick in price action, trader sentiment has shifted bullish with anticipation of a bounce on the short-time frame.

With price action pushing down, Chainlink is currently trading at a market price of $15.19 (Representing a 24-hour change of -1.35%).

This comes amid attempts at pushing up off 20DMA support over the past few days.

Indeed, the 20DMA has formed a vital lifeline for LINK price in recent months, and now stood at $14.68 – this key moving average could form a localized foothold if LINK price pushes lower.

Below that, the ascendant lower trendline, which provided support to Chainlink’s technical structure on January 3 and 8, could offer a secondary layer of localized lower support

Meanwhile, the 200DMA remains far below the current trading channel, stood at $10.38.

But while LINK seems set for a re-test of 20DMA support, a positive sign emerges from the RSI, which has shifted aggressively neutral in recent days – now stood at 51.03.

This matches well with the MACD, which is showing minor bullish divergence in momentum at 0.099 – suggesting LINK price is overdue for a bounce on the short-time frame.

Overall, LINK price analysis reveals the top oracle is primed for an upside move on the short-time frame, with serial lower support opportunities providing reassurance to bag-holders. 

Consequently,