Chainlink Signals Renewed Bullish Momentum After Oversold Bounce

Chainlink (LINK) is showing promising signs of a bullish revival, with crypto analyst CryptoWzrd highlighting the altcoin's rebound from an extremely oversold position. Daily charts indicate a potential continuation of upward momentum, setting the stage for significant price movement.

Bullish Momentum and Price Targets

According to CryptoWzrd's latest analysis, both Chainlink and its Bitcoin pair (LINKBTC) concluded recent trading sessions with bullish daily candles. This positive market structure, particularly on higher timeframes, suggests a shift in sentiment favoring buyers, following a period of corrective movements. The analyst projects that a sustained upward push from its current position could pave the way for LINK to challenge the $40 resistance level in the coming days.

Key Levels and Market Volatility

In the short term, Chainlink faces immediate resistance at $30. Given the current momentum, this level is expected to be overcome with relative ease, provided buyers maintain their control. Conversely, a critical support level rests at $20, which must hold to preserve LINK's broader bullish outlook. CryptoWzrd also observed heightened intraday volatility, influenced by recent macroeconomic events such as the Jackson Hole Symposium. A potential pullback below $26.50, if followed by a bullish reversal, could propel prices towards $31 and potentially higher. However, a prolonged hold below the $26.50 mark without signs of recovery might lead to extended sideways price action.