This summary text is fully AI-generated and may therefore contain errors or be incomplete.
The Chainlink (LINK) price is currently experiencing a bearish trend, with a potential for further downward movement if a bounce does not occur soon. The price has broken down from a 230-day support area, indicating a possible sharp decline. While the LINK/BTC price action is not bullish, it shows better chances of a reversal compared to its USDT counterpart.
Looking at the long-term price prediction, the Chainlink price has fallen below a descending resistance line since November 8. This resistance line caused a rejection on December 13, leading to a minimum price of $5.45 on December 29. Currently, the LINK price is trading just below the $5.80 horizontal support area, with the December 28 close being the lowest since June 2020. The daily RSI broke down from its bullish divergence trendline and validated it as resistance afterward. These bearish developments, combined with the 230-day support area breakdown, could result in a sharp fall towards the $4.40 support area.
On the other hand, a breakout from the descending resistance line could trigger a relief rally. However, given the bearish readings mentioned earlier, this Chainlink price forecast seems unlikely.
When analyzing the LINK/BTC pair, there is hope for a potential bullish reversal. The breakout from a descending resistance line that had been in place for 469 days led to an upward movement, reaching a high of 46,780 satoshis. However, the LINK price is struggling to move above the 38,000 satoshi horizontal area, which previously acted as support in December 2020 and 2021. The weekly RSI is currently at 50, and an upward movement could push it above this level. Therefore, for the trend to be bullish, the LINK price must move above 38,000 satoshis.
If the LINK token price gets rejected from the 38,000 satoshi resistance area, it could lead to a downward movement towards 23,000 satoshis. Conversely, moving above the 38,000 satoshi area could result in a bullish future price, with a potential increase of more than 100% and highs near 62,500 satoshis.
In conclusion, the LINK/USDT pair is more bearish compared to the LINK/BTC pair due to its bearish price movement and breakdown from horizontal support. A breakout from the descending resistance line would invalidate the bearish LINK price analysis, while the reaction to the 38,000 satoshi resistance area could determine the LINK/BTC trend.