Most cryptocurrencies have continued to recover from January’s weakness, yet Chainlink (LINK) has lagged behind many of its peers. Despite several recent integrations, the token has struggled to mount a sustained rebound. However, LINK is beginning to form a potentially strong bullish reversal that could push the price toward $31. Below are the key points.
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Despite a resilient recovery, LINK encountered major resistance around $18 last week.
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At the time of writing, the token is trading at $18.95, having held above that threshold over the past seven days.
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With solid consolidation and a developing bullish reversal, LINK could have the momentum to test a $31 target.
Data source: Tradingview.com
Can Chainlink actually break above $30?
This would not be the first time LINK has traded above $30. Still, the coin’s slow pace of recovery remains a concern even if overall market sentiment improves. A key level for LINK is the resistance near $18.
If LINK clears that level, a rapid climb past $20 could follow, bringing the $30 mark into reach. Conversely, if the bulls fail to defend price action around $18, this bullish scenario would be undermined.
On the downside, a drop to $15 could open the way for further weakness before finding support around $12. At press time, the coin was trading at $18.95.
Is Chainlink (LINK) a good buy?
With a market capitalization of roughly $12 billion, Chainlink ranks among the larger crypto assets. It has achieved a degree of mainstream recognition and has been one of the better-performing coins over the past year or so.
Although the token has shown some weakness this year, the underlying fundamentals remain solid. For investors planning to hold for at least a year, LINK could represent an attractive buying opportunity, provided they are comfortable with typical crypto volatility.