AAVE and Chainlink prices are bleeding as sellers double down. By taking the lead from the June 21 bear bar, AAVE/USDT and LINK/USDT risk crashing to $150 and $10, respectively.
LINK is the token behind the world's most adopted oracle service provider in crypto.
The crypto market brutality continues, and LINK is no exception.
June 21 bear candlestick defines price action this week.
As we advance, how prices react at spot levels would either see LINK/USDT dump or reverse sharp losses.
Presently, LINK is down 30 percent week-to-date and losing roughly six percent on the last trading day alone.
Reading from the daily chart, the middle BB is the primary liquidation line.
LINK/USDT prices are down below $20 as sellers double down, unwinding gains of May 24—canceling bullish prospects.
Confirmation of June 21 losses would see LINK chart in a new trajectory, placing sellers firmly in the driving seat.
LINK prices are trending below the middle BB as bears press lower.
There might have been gains on the tail end of June 21. Still, confirmation of yesterday's bar is enough to shock the market, forcing more sellers into action.
In that case, LINK/USDT prices may dump to the Q1 2021 lows of around $10.
The CertiK-certified borrowing and lending DeFi protocol uses AAVE as its primary token.
From the daily chart, AAVE is under immense pressure, trading within a bear breakout pattern. The immediate resistance and buy trigger line lie at $300.
At the time of writing, AAVE is down 12 percent against the USD.
In a bear breakout pattern, AAVE/USDT is free-falling.
Sellers are stepping up as fear grips the market.
Notably, AAVE bear bars—like June 21, for example—are banding along the lower BB. It, therefore, means the underlying sell momentum is stronger.
As such, every pullback could present a selling opportunity for aggressive traders.
AAVE is free-falling in a sell breakout pattern to confirm the double-bar bear pattern of May 18 and 19.
Following June 21 high-volume sell bar, traders may unload on pullback targeting $150 in the immediate term.
Sharp gains unwinding June 21 losses may shift fortunes in favor of bulls. However, risk-averse traders should wait for conclusive gains above $300.