LINK Breaks Downtrend, Signals Accumulation Before Potential $30 Rally
Chainlink forms a strong base at $11 as technical patterns and volume suggest a prospective trend reversal towards the $30 zone. LINK breaks its long-term downtrend and enters an accumulation stage, preparing for a rally supported by increasing trader confidence. Momentum indicators and historical data align as LINK shows signs of bottoming out with $81.65 identified as a potential longer-term target.
Chainlink (LINK) is currently trading at a support level around $11.00, attracting growing interest from market participants. Analysis indicates similarities between this zone and the starting point of LINK’s previous major rally. Despite a gradual decline in price, LINK now rests on a solid historical foundation. The next logical resistance level is around $19.00 if this support area holds. LINK has retraced over 60% from its early 2025 highs above $30.00, aligning with typical post-parabolic retracement patterns, increasing the likelihood of a short-term bottom.
The daily chart reveals a descending price channel that contained LINK’s correction for several months. LINK steadily declined from $30.94 to current levels near $12.00. Multiple rejections and resistance levels near $19.00, $26.00, and $30.94 confirm the validity of this structure. However, recent analysis suggests that LINK has broken this prolonged downtrend, now consolidating within a clear accumulation range. Historical data shows that such consolidation phases often precede significant upward movements.
Furthermore, past trends indicate that LINK tends to surge after periods of relative calm. The current technical setup indicates strong support between $11.00-$12.66, which has historically served as a base for institutional accumulation during previous cycles. Increasing volumes during each support test signal growing trader interest.
Technical momentum and market sentiment are also improving, with indicators suggesting a shift towards bullish sentiment. The Startup Indicator Suite forecasts a target of $81.65, indicating a rising bullish momentum. Positive shifts in sentiment and volume patterns often precede trend reversals in major altcoins like LINK.
Additionally, the presence of multiple bullish signals in circulation metrics indicates renewed market strength. Recent shifts in market volatility, coupled with bullish indicators, support the possibility of an upcoming recovery phase. Despite the prolonged correction, Chainlink’s technical structure currently offers a favorable risk-reward ratio. If the current momentum continues and confirmation follows, LINK could potentially revisit the $25.00-$30.00 range in the coming months.
The article originally appeared on Crypto Front News, offering insights into cryptocurrency, blockchain technology, and digital assets.
