ChainLink as done practically nothing except trade sideways since the last time I talked about the Altcoin in an analysis titled “Is The Chainlink Crash Over? Read This Before You Buy!“
In that analysis, I was able to point out the important support and resistance level that was likely to pose a problem for the ChainLink price.
Well, since that analysis, Chainlink has been unable to break through those levels. However, Chainlink is right now showing signs that it might be ready to break out soon.
In this Chainlink analysis, I will be talking about this coming massive move in Chainlink, as well as the important indicator I am watching to confirm this move.
The Trading Volume Tells An Important Story About ChainLink
Since the Chainlink price started ranging and trading sideways, we have seen a rapid decline in the trading volume of the Altcoin as Chainlink traders moved to other cryptocurrencies.
And right now, Chainlink is currently experiencing one of its lowest trading volumes.
But there is something that is very constant all through the history of the Chainlink Altcoin, and that is every time we have seen the Altcoin trading volume drop to this lows, it is usually followed by a massive impulsive move price and a surge in volume.
This means there is a high probability that we might see a massive surge in the Chainlink trading volume and price soon. However, the next question becomes where can we expect the price to break out to?
Is Chainlink A Buy Or A Sell?
The Honest answer to that is “No one actually knows!“. However, what we do know is the important levels to watch for a potential confirmation for either a buy or a sell.
For the Buy, I want the Chainlink price to break out and close above the 0.001421 resistance region. As far as the price remains below this resistance, I will stay bearish.
For my sell entry, I want to see a dump in the Chainlink price below the 0.001195 support region. A price close below that support region will confirm the resumption of the Chainlink price crash.
However, until the Chainlink price can break through the support or resistance price region, I will stay neutral and wait for traders to step back into the Altcoin.
This way you avoid getting caught on the wrong side of a choppy market.
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