Bitcoin

Chainlink

Chainlink has plunged 38% this week, breaking through major support levels. There could be further declines, potentially targeting the $5 support level, but a recovery is possible if it holds at that point.Chainlink (LINK) has suffered along with the broader cryptocurrency market, seeing significant downturns. In the past week, LINK’s value dropped 38%, with a sharp 25% decline just in the last day. This decline follows LINK’s recent surge above $21 in March and is influenced by technical patterns seen on its price chart.<img src="https://academy-public.coinmarketcap.com/optimized-uploads/62a702cf06e94d11b54cfafba4f6ce08.png" /><h3 id="chainlink-faces-potential-further-decline-after-breaking-key-support">Chainlink Faces Potential Further Decline After Breaking Key Support</h3>Analysis of the 3-day chart reveals that LINK has broken through a critical support level, indicating potential for further downside.In trading, a “support level” refers to a price point at which an asset typically does not fall below, as buying interest is strong enough to counteract selling pressure.Since LINK broke through the support in the $13 to $11.40 range, the asset has <a href="https://cryptosheadlines.com/shiba-inu-faces-decline-in-burn-activity/" rel="noopener noreferrer nofollow">faced further decline</a>, suggesting a weakening in buyer enthusiasm.<img src="https://academy-public.coinmarketcap.com/optimized-uploads/c8edce38e59e42e2be5a295e80a1ac3b.png" />Source: TradingViewLooking at the chart, there is a likelihood of LINK falling further until it reaches another major support at the $5 region. If LINK reaches this support and breaks through again, we could see more significant selling pressure. Conversely, if the <a href="https://cryptosheadlines.com/dogecoin-price-bounces-back-following-2023s-biggest-doge-shorting/" rel="noopener noreferrer nofollow">price stabilizes or bounces back</a> at this point, it could indicate a potential recovery and restoration of investor confidence in LINK.<img src="https://academy-public.coinmarketcap.com/optimized-uploads/62a702cf06e94d11b54cfafba4f6ce08.png" /><h3 id="market-reactions-to-chainlink-s-decline-mixed-signals-and-whale-activity">Market Reactions to Chainlink’s Decline: Mixed Signals and Whale Activity</h3>The <a href="https://cryptosheadlines.com/blackrock-ethereum-etf-hits-277m-amid-market-dip-and-mixed-reactions/" rel="noopener noreferrer nofollow">market’s reaction to Chainlink’s recent movements has been mixed</a>. According to data from Coinglass, over the past 24 hours, the broader crypto market saw more than 290,799 traders liquidated, with total liquidations reaching $1.11 billion.<img src="https://academy-public.coinmarketcap.com/optimized-uploads/c80f1dfada92410992c2828b3d908b2e.png" />Source: Coinglass<a href="https://cryptosheadlines.com/why-is-the-crypto-market-falling-today-find-out-inside/" rel="noopener noreferrer nofollow">Also Read: Why Is the Crypto Market Falling Today? Find Out Inside</a>Within these figures, LINK-specific liquidations amounted to over $6 million. This was primarily due to long <a href="https://cryptosheadlines.com/bitcoin-drops-below-53k-600m-in-long-positions-liquidated/" rel="noopener noreferrer nofollow">position liquidations</a> of $5.11 million, compared to $384,430 from short positions.Interestingly, despite the downturn, some large-scale investors, or ‘whales,’ appear to view the lower <a href="https://cryptosheadlines.com/avax-price-analysis-buying-opportunities-ahead/" rel="noopener noreferrer nofollow">prices as buying opportunities</a>. Data from IntoTheBlock shows a significant increase in large transactions (over $100,000), rising from 71 transactions <a href="https://cryptosheadlines.com/doge-price-forecast-26-decline-last-week/" rel="noopener noreferrer nofollow">last week</a> to 147 today.<img src="https://academy-public.coinmarketcap.com/optimized-uploads/b1d9128a9ecb4ac78906b4087db0b9eb.png" />Source: IntoTheBlockThis uptick suggests that while the short-term outlook may seem bearish, certain investors are positioning themselves for a <a href="https://cryptosheadlines.com/breaking-ripple-lawyer-exits-case-potentially-favoring-us-sec/" rel="noopener noreferrer nofollow">potentially favorable</a> long-term trajectory.Important: Please note that this article is only meant to provide information and should not be taken as legal, tax, investment, financial, or any other type of advice.<img src="https://academy-public.coinmarketcap.com/optimized-uploads/f1c20b038ca7400aa5acc0afeb5e6edf.png" />Important: Please note that this article is only meant to provide information and should not be taken as legal, tax, investment, financial, or any other type of advice.Join Cryptos Headlines <a href="https://linktr.ee/cryptosheadlines.com" rel="noopener noreferrer nofollow">Community</a>Follow Cryptos Headlines on <a href="https://news.google.com/publications/CAAqBwgKMLz3-wowvuzoAg" rel="noopener noreferrer nofollow">Google News</a>

Chainlink Falls Below Support: More Trouble Ahead for LINK Investors?

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