Chainlink (LINK) has been showing strong market performance over the past few days, signifying a bullish trend in the nearer term. Over the past week, the price of the cryptocurrency dropped down to almost $11 followed by quickly swinging above $12. However, in the current 4-hour chart, the price of LINK represents a 200 Simple Moving Average (SMA) signifying there will be a bullish run towards $14.05.
On a 4-hour LINK/USD chart, the price of LINK seems to have stuck on the 200 Simple Moving Average. Closing the deal above 200 SMA is necessary to experience the bullish trend above $14.05, as indicated by the 50 SMA.
Key resistance is anticipated at the 100 SMA, however, if the buying pressure continues, LINK might anticipate a bull run in the near future.
The daily LINK/USD chart represents key holdings among the three moving averages in the 50 SMA, 100 SMA, and 200 SMA. A golden cross pattern formed after 50 SMA crossing above the long-term 100 SMA confirms Chainlink’s upcoming bullish hypothesis. The daily close above both the 50 SMA and 100 SMA will magnify the anticipated rally with more buying orders.
A notable point to be made here is that the LINK token needs to hold above the 50 days SMA and 100 SMA to confirm the upcoming bull run for the token. However, trading below the two moving averages will on the other hand lead to massive losses under $10. One of its pitfalls suggests its most vigorous support lies at the 200 SMA.
Meanwhile, on-chain metrics of IntoTheBlocks’s- Daily New Addresses show that Chainlink had considerable growth over the past two weeks with a considerable increase in daily addresses joining the network.
In general, there has been a considerable growth of LINK token and the Chainlink network. This represents an overall bullish picture for the token and the potential push in the valuation of the cryptocurrency.