Chainlink (LINK) has shown a remarkable recovery in the last 7 days, exhibiting double-digit growth contrary to the market trend. This could trigger a process resulting in the altcoin reclaiming all its losses since the end of July. However, despite this upward trend, it is not wrong to say that there are some obstacles ahead.
Chainlink Comments
Chainlink’s price has visibly recovered, and the optimism of major investors seems to be reflected in the price outlook. Whales recently made the first significant purchase since the beginning of August.
Wallets holding at least 0.1% of the total LINK supply purchased over 3.4 million LINK within just two days. This $40 million increase in LINK flow raised the total inflow from 256,000 LINK to over 3.71 million LINK. This indicates that the recent price increase has triggered a rise in investor confidence.
LINK‘s recent inflow increase shows that the recent rally in Chainlink (LINK) has caught the attention of major investors. These investors are now making new moves considering the coin’s upward momentum.
On the other hand, the Relative Strength Index (RSI) shows that LINK is approaching the overbought zone. Consistent accumulation from whales and other investors suggests that entry into the overbought zone could happen soon, but this could also bring some risks.
As LINK approaches this level, the likelihood of the current rally reversing increases. When entering the overbought zone, investors generally take profit, which could lead to corrections.
How Much Will LINK Be Worth?
Chainlink’s price could reverse the losses seen after the July crash and regain profitability if it can overcome the resistance ahead. This level, calculated at $12, has also served as support for a long time in the past.
However, if the RSI reflects the altcoin’s risk of being overbought, the attempt to surpass the $12 region might fail for now. LINK’s price increase could reverse, and consolidation above $9.35 might be observed.
However, if things go well and the upward momentum is not disrupted despite approaching the overbought zone, the $12 level could turn into support, and the $13 level could also be surpassed.
