Chainlink (LINK) has shown signs of bullish momentum according to CryptoWzrd’s latest technical outlook. The daily close for Chainlink and LINKBTC ended on a positive note, with bullish candles hinting at a potential move upwards. LINKBTC, in particular, rebounded from an extreme oversold zone, indicating a shift in sentiment towards buyers.
The analyst emphasized the importance of sustaining this bullish trend, as additional positive daily candles could pave the way for further upside in LINK. Momentum is gradually returning, with the potential for Chainlink to challenge the $40 resistance level in the near future. $30 was highlighted as the next immediate resistance, with $20 serving as crucial daily support to maintain the broader bullish outlook.
Looking ahead, CryptoWzrd will focus on lower time frame setups to identify quick scalp opportunities while keeping an eye on the overall daily structure. The recent volatility sparked by the Jackson Hole Symposium has showcased the market’s sensitivity to macroeconomic events, leading to potential trading opportunities for savvy investors.
In conclusion, the analyst pointed out that a pullback below $26.50 followed by a bullish reversal could present a strong long setup with targets towards $31 and beyond. However, failure to hold above $26.50 may result in sideways volatility, making it challenging to identify clear directional setups. As the weekend approaches, traders should remain cautious of lower liquidity conditions that could impact price movements.