- LINK forms higher low near $16.15, maintaining a bullish structure with targets set at $32 and $51.
- Liquidity builds under $15 as LINK retests 200-day EMA, signaling potential for strong rebound.
- Whale holdings rise 13% while exchange supply drops, supporting a long-term bullish outlook for LINK.
Chainlink (LINK) is currently retesting a key support level following a pullback from its July peak near $20. The asset is forming a higher low on the daily chart, which supports the continuation of a bullish structure. At the time of writing, LINK is trading around $16.15.
LINK Maintains Uptrend as Key Support Holds
Solberg Invest suggests that LINK may form a higher low before initiating a rally, with long-term targets set at $32 and $51. This outlook is based on a breakout above a descending trendline and a clean pattern formed since February. Price recently reached a local high near $18 before retracing to the breakout zone.
Technical analysis shows LINK testing its 200-day EMA support after dropping below the 20-day and 50-day moving averages. If the 200-day EMA holds, the current setup may support a new upward leg toward $20, then possibly $25 and $40.Â
The ascending broadening wedge pattern continues to support a long-term bullish case. According to Hardy, “LINK is coming back into support as expected, though I have not seen long triggers just yet.” He noted that liquidity is building under $15, suggesting strong buyer interest in that area.
Market Conditions Support Bullish Structure
LINK’s RSI is at 43.52, indicating neutral momentum. This allows room for upward or downward movement, depending on broader market action. The MACD histogram shows mild bearish momentum, but it has not accelerated, which signals potential for stabilization.
Data from Nansen shows that whales now hold 3.84 million LINK, marking a 13% increase from early July. Falling exchange balances support this view, as LINK held on exchanges declined from 283 million to 276.88 million.
Chainlink remains above its 50-day moving average, and the current pattern suggests a possible continuation in line with previous Elliott Wave cycles. If the bullish wave resumes, the $32 target could be tested, with $51 as a longer-term objective.
