LINK price continues to print gains for the second straight day. The asset started the session on a lower note but quickly recovered to test the daily highs of $15.85. The downside is capped near $14.75.
LINK price edges higher on Tuesday with significant gains.
A decisive close above $15.85 will test the $19.0 mark.
Bearish divergence on a 4-hour chart might pause the gains.
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LINK price trade near critical level
Source: Trading View
On the 4-hour chart, the LINK price formed multiple formations that indicate impending retracement in the price. Before continuing its journey toward the north investors might be looking to collect some liquidity.
First, the LINK price formed a ‘double top’ formation near $15.85, which is a bearish reversal pattern. Secondly, the price traded above the 0.23% Fibonacci retracement level with an ascent of 30% from the lows of $12.60. On top of that, the RSI gives bearish divergence on the 4-hour chart since March 19.
To sum up, a health retracement is on the cards as it will set a base for another leg up.
LINK price could immediately test the critical $15.0 mark that also coincides with the 0.23% Fibonacci retracement level. Next, a spike in sell orders might smash out the vital support placed at $14.71.
Source: Trading View
LINK price indicates strong buying momentum with above an average volumes. A daily close above $15.85 will diminish the downside probability in the asset. A renewed buying pressure will pave the way toward the $19.0 mark.
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Technical indicators:
RSI: On the 4-hour chart, the Relative Strength Index shows a bearish divergence from the past 5-sessions.
MACD: The Moving Average Convergence Divergence holds above the midline with a positive bias.
As of press time, LINK/USD is trading at $15.71, up 4.73% for the day. The 24-hour trading volume holds at $800,967,728.
Rekha has started as Forex market analyst. Analyzing fundamental news and its impact on the market movement. Later on, develop an interest in the fascinating world of cryptocurrency. Tracking the market using technical aspects.
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