The cup and handle pattern spotted on the higher timeframe price charts signaled a possible bullish breakout to $125.
Key Takeaways
Содержание статьи:
Why are investors bullish on Chainlink?
News of partnerships, digital asset treasury strategy companies, and real accumulation from holders showed investors can be confident of their LINK holdings.
What are the next price levels to watch?
In the short term, $21.87 and $25.81 marked the extremes. In the long term, $31, $38, and $47 were the next key resistances.
On the 17th of September, Chainlink [LINK] announced that the Saudi Awwal Bank will be leveraging Chainlink services to provide next-generation onchain applications in Saudi Arabia.
The bank is one of Saudi Arabia’s largest, with over $100 billion in total assets.
Just a month ago, the network launched “Data Streams” to provide real-time, high-throughput pricing for traditional finance products across 37 different blockchains. The series of partnerships and developments bolstered investor sentiment.
In other news, Caliber (CWD), a diversified real estate and digital asset management platform, announced the completion of a $6.5 million LINK purchase for its digital asset treasury (DAT) strategy.
Source: CryptoQuant
On-chain data showed that Chainlink reserves on exchanges were at the lowest they had been since June 2022. The steady trend of LINK flowing off of exchanges was a hugely encouraging sight for long-term investors.
It signaled a sizable accumulation over the years. It also quelled the threat of immediate sell-offs and promised steady price gains as holder conviction remained strong.
The cup and handle pattern spotted on the higher timeframe price charts signaled a possible bullish breakout to $125.
What is the Chainlink price prediction for September?
Source: LINK/USDT on TradingView
Despite the positive news developments and drop in exchange reserves, Chainlink saw uncertain momentum over the past month. The market structure on the daily timeframe was bullish, with the $21.87 level marking a swing low of note.
There was a fair value gap, or an imbalance, just above the $20 level. The CMF was at +0.03 and was not indicative of strong capital inflows.
The MFI was climbing higher to reflect bullish momentum.
Source: LINK/USDT on TradingView
Zooming in to the lower timeframes, a range formation between $21.87 and $25.4 was seen. At the time of writing, LINK was below the mid-range level at $23.64. This suggested that a price drop to the range lows was a possibility.
Traders should keep an eye on the $23 short-term demand zone to see if the range lows will be revisited, or if Chainlink bulls can establish an upward move.
Next: Bitcoin defies September slump: Mapping BTC’s path to $130K
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