Chainlink (LINK) Price Analysis: LINK Is in a Downward Correction, a Breakdown to $11 Low Is Likely

Chainlink (LINK) Price Analysis: LINK Is in a Downward Correction, a Breakdown to $11 Low Is Likely

Key Highlights
LINK faces rejection after reaching the high of $16
The coin is falling and may revisit the previous low at $11

Chainlink (LINK) Current Statistics
The current price: $12.77
Market Capitalization: $5,060,807,660 
Trading Volume: $1,240,464,420
Major supply zones: $18.00, $20.00, $22.00
Major demand zones: $8.00, $6.00, $4.00

Chainlink (LINK) Price Analysis December 4, 2020
LINK is falling and trading at $13 at the time of writing. In its recent rallies, the coin has suffered two rejections. On November 24, LINK attains its peak price of $16.

The bulls could not break above the overhead resistance. There was a bearish reaction as the crypto plunged to $11.30 low. The bulls buy the dips as the coin corrected upward to $14.50. At the recent high the coin was rejected again as it resumed the downward move. The coin is likely to reach a low of $11.

LINK/USD – Daily Chart

Chainlink Technical Indicators Reading
LINK is falling and the price is pointing to the support line of the ascending channel. A break below the support line will mean a further downward movement of the coin. Incidentally, a break below the SMAs will also mean a further decline of the coin. LINK has fallen to level 35 of the Relative Strength Index period 14. The crypto is approaching the oversold region and below the centerline 50.

LINK/USD -4 Hour Chart

Conclusion
LINK is falling because of the recent rejection; the crypto is likely to further depreciate. According to the Fibonacci tool, the coin will further decline. On December 2 downtrend; a retraced candle body tested the 50% Fibonacci retracement level. This retracement indicates that the market will fall to level 2.0 Fibonacci extension level. That is the coin will decline to $11.13 low.


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Author : Azeez Mustapha

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Azeez Mustapha is an experienced author, trader, markets analyst, signals strategist, and funds-manager.