Crypto analyst Alex Clay has shared a technical analysis suggesting a potential buying opportunity for Chainlink (LINK) after its retracement to key support levels. The analysis points to multiple price targets based on chart patterns and technical indicators.
The monthly chart by Alex displays a cup and handle pattern formation in LINK’s price action from mid-2021 through 2023. The cup shape formed during an extended consolidation period, while the handle emerged in the latter part of the pattern in 2024.
A breakout from this formation occurred near the $20.66 price level. The current price action shows LINK testing this breakout point, which serves as a support level on the charts. At press time, LINK trades at $20.37. The token’s value has dropped over the past day and week.
What you'll learn 👉
Price Targets Set Across Multiple Timeframes
Clay outlined specific price targets for different trading horizons in his analysis. The mid-term objectives place the first target at $38.35, followed by a second target at $47.30.
The long-term price projections extend further, with an initial target of $58.80. The highest price objective stands at $73.90, representing the uppermost long-term target based on technical analysis.
Read also: Why Is Lido DAO’s Price Rising? Here’s Why LDO Could Hit $4 Soon
Market Structure and Support Levels
The technical setup identifies the $20.66 level as a major support zone, coinciding with the handle breakout point. This price area gains strength from historical trading activity and previous resistance turned support.
The price action broke above a declining trendline, marking the end of the previous bearish trend. This break reinforces the bullish market structure observed in the monthly timeframe.
Clay expressed his conviction in the setup through social media, stating he was “Adding to my main bag here! FULL SEND.” The analyst’s chart analysis incorporates multiple technical factors, including Fibonacci extensions and previous market structure points to validate the identified target zones.
Follow us on X (Twitter), CoinMarketCap and Binance Square for more daily crypto updates.
Get all our future calls by joining our FREE Telegram group.
We recommend eToro
Wide range of assets: cryptocurrencies alongside other investment products such as stocks and ETFs.
Copy trading: allows users to copy the trades of leading traders, for free.
User-friendly: eToro’s web-based platform and mobile app are user-friendly and easy to navigate.
