- Chainlink shows unusual resilience with strong buying pressure, breaking a multi-year downtrend and testing key resistance levels.
- Analysts highlight rising RSI and volumes as LINK outperforms peers, signaling bullish momentum and possible institutional backing.
- LINK trades between $26 and $28 with strong OBV, and a breakout above this zone could spark a powerful new rally phase.
Chainlink (LINK) is flashing a powerful trend reversal that has caught the attention of both analysts and traders. For years, the asset struggled under a prolonged downtrend. However, its recent breakout against Bitcoin and USDT now suggests renewed momentum. Analysts believe this shift could mark the beginning of one of the strongest bullish phases for LINK.
The urgency lies in the fact that LINK is moving against the wider crypto market, even outperforming during Bitcoin downturns. This unusual strength has raised questions about what could be brewing behind the scenes.
Trend Shift Backed by Analyst Views
Michaël van de Poppe highlighted that LINK has now broken its multi-year downtrend against Bitcoin. According to him, the weekly chart clearly shows a reversal. LINK held firm around key support zones and then rallied toward 0.00001644 BTC. This level now serves as critical resistance.
Source: Michael Van de Poppe
Hence, a confirmed breakout above it could sustain the current upward move. Moreover, the Relative Strength Index continues to rise, pointing to increasing buyer demand. Trading volumes are also climbing, adding weight to the bullish outlook.
Additionally, Rogue, another analyst, observed that LINK shows unusual resilience even when Bitcoin prints deep red candles. He noted that institutional interest could be a factor. Rogue suggested that major players might already know more about the project’s reserves and treasury activities.
Besides, the mention of LINK in political and institutional circles adds more fuel to speculation. Consequently, the consistent strength of LINK during uncertain market phases has not gone unnoticed.
Market Indicators and Price Action
On the USDT pair, LINK surged from $18.5 in July to $26.67 by mid-August. The daily chart showed multiple long signals from the SuperTrend indicator. Additionally, the On-Balance Volume reached 1.04 billion, indicating that there was significant purchasing pressure. The RSI is currently close to 65, indicating that there is solid momentum and no overbought situations. As a result, traders anticipate more gains if buying keeps up.
Source: Rogue
Furthermore, LINK’s increasing market importance is demonstrated by its capacity to outperform peers during periods of turbulence. The $26–$28 area is being watched by investors as a critical breakout zone. If LINK clears that level with volume, the next rally phase could be significant.
