Chainlink Shows Strong Accumulation Signal: LINK Exchange Liquidity Dries Up
Chainlink is trading under sustained pressure as the price continues to struggle below the $13 level, failing to regain the bullish momentum that defined earlier phases of the market cycle. Repeated attempts to reclaim higher ground have been rejected, reinforcing a cautious outlook among traders. As broader market sentiment remains fragile, a growing number of analysts are warning that LINK could face additional downside before a meaningful recovery takes shape. From a technical perspective, LINK is currently trading below its short- and medium-term moving averages, which have rolled over and are now acting as dynamic resistance. The 50-period moving average sits well above the current price, reinforcing the idea that recent rebounds have been corrective rather than impulsive. The longer-term moving average, however, is flattening near current levels, suggesting that selling pressure may be slowing as price approaches a historically important zone.Related Reading
The $12–$13 range stands out as a key support area. This level has acted as a pivot multiple times over the past two years, repeatedly attracting demand during periods of broader market weakness. The fact that LINK is consolidating rather than breaking down aggressively suggests that sellers are losing momentum.
Volume behavior supports this view. While sell-offs earlier in the year were accompanied by sharp volume spikes, recent price action shows reduced participation, indicating distribution may be giving way to stabilization. For LINK to signal a meaningful trend reversal, bulls must reclaim the $15–$16 zone.
Featured image from ChatGPT, chart from TradingView.com
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