- Chainlink price secures a bottom as LINK buyers step up to avoid more southward movements.
- LINK awaits a Christmas rally, contemplating a 35% surge.
- Downside threats remain but are likely limited.
Chainlink (LINK) develops a lucrative bullish formation on the $0.05/three-box chart. With that, hitting the theoretical trades entry-level might witness a significant surge to the value area of $28.
LINK Ready for a Bounce to Higher Prices – Short Sellers Feel the Pressure.
LINK price presents multiple ascending higher lows on the Point and Figure chart as the alt develops a triple-top. Furthermore, an ascending triangle formation emerged, confirming a higher bullish breakout probability in the coming sessions.
The theoretical trade is the buy-stop order around $21, profit target near $28, and stop-loss at $19. The trade setup shows a 3.5:1 risk-reward. Moreover, 2 – 3 boxes trailing stop would prevent implied profits after entry.
Though the target of $28 appears too conservative, it comes from Point and Figure Analysis’ Vertical Profit Method. Buyers might decide to take profits at the $28 mark as the level stands above the present bear market’s trend-line. Meanwhile, touching $28 will see LINK shifting into a bullish market, and the possible selling momentum will contribute to the first retracement – signaling a return to upside levels.
Meanwhile, a LINK move under the value zone of $14 will cancel the theoretical setup. If such an action happens, Chainlink might sustain a flash crash, dropping towards the range of $9.
For now, Chainlink buyers appear optimistic as they prevent losses to target the conservative aim of $28. They contemplate an upward push after the coin secures a bottom, avoiding further southward movements.
LINK’s bullish note confirms that the altcoin is ready for a Christmas rally. Analysts believe most assets, including Chainlink, will end the year in a lucrative move. Moreover, the bullish mood across the crypto space at the moment will bolster Chainlink’s surges.
Bitcoin trades at $49,308 after overnight gains. Alternative coins reflect BTC’s bullishness. The bellwether digital coin will support dependable bullishness after overcoming $50,000. With that, crypto assets will tag their higher target with fewer challenges.