Chainlink’s Soaring Rally Faces a Bearish Turn as Top Bulls Retreat

Chainlink’s soaring rally faces a bearish turn as top bulls retreat. Chainlink (LINK) recently experienced a noteworthy ascent, reaching $16.60, only to subsequently plummet by 15%, hinting at a looming bearish trajectory. This corrective phase is linked to waning bullish activities following a month of relative stability. Particularly influential were the top 150 Chainlink bulls, pivotal in the prior 130% surge, amassing 36.07 million LINK.

Chainlink (LINK) Price Analysis: What’s Behind the Recent Correction?

The Chainlink (LINK) price experienced an epic surge in the past weeks, reaching a yearly high of $16.60 ten days ago. Today, it has dropped by 15%.

LINK bulls have been showing consistent movements. After… pic.twitter.com/eMBm3qwW6a

— Duong (@Duong72871837) November 21, 2023

Yet, their recent divestment of tokens totaling $22 million, coupled with an overall reduction in LINK holdings from 732.37 million to 730.81 million, sparks unease. Traditionally, whale sell-offs during a rally serve as a harbinger of a market downturn, reflecting heightened investor concerns. Furthermore, the decline in active Chainlink holdings from 4,610 to 2,150 amidst the recent price dip underscores potential forthcoming losses for Chainlink.

Key Chainlink Levels To Watch – November 22

The market has been in a bullish trend since the beginning of the year’s third quarter. The propulsive expansion from the $7.110 swing low led the price into an overbought state, according to the RSI (Relative Strength Index).
 
Recently, the market made a reversal after the formation of a new high at $16.580. The reversal is likely due to the selling pressure in the overbought region. According to the SMA (Simple Moving Average), LINKUSD is in the early stages of its emerging downtrend. 

Chainlink Key Levels

Resistance Levels: $18.320, $23.540, $28.710 
Support Levels: $9.650, $7.910, $4.930

LINK Metrics

Total Market Capitalization: $1.39T 
Chainlink Market Capitalization: $7.86B
Chainlink Volume: $0.89B
Market Rank: #12

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