Date: Sun, Dec 15, 2024, 08:11 AM GMT
In the cryptocurrency market today, we are witnessing a correction phase in major altcoins following their strong rallies over the past month. Chainlink (LINK) and Uniswap (UNI), which posted impressive gains of 117% and 103% respectively in the last 30 days, are now trading in the red as they undergo a healthy correction.
Both tokens are retesting key support levels after successfully breaking through major resistance zones
Source: Coinmarketcap
Chainlink (LINK):
Chainlink (LINK) recently delivered an impressive 117% monthly rally, with price jumping from its monthly low of $14 to a recent high of $30.94. This breakout gained momentum following accumulation news linked to Donald Trump’s World Liberty Financial, which fueled investor interest.
Currently, $LINK is retesting its key resistance zone near $28.60, which is acting as support. This correction phase is a healthy sign, allowing LINK to confirm its breakout before potentially heading higher.
What’s Next for LINK?
If LINK manages to reverse from this support level, it could approach its next major resistance at $38.30, marking a 34% gain from current levels.
The RSI (Relative Strength Index) indicates slightly overbought conditions, so a bounce with strength will be critical for continuation.
Uniswap (UNI):
Uniswap (UNI) has followed a similar trajectory, breaking out of its multi-year resistance zone to rally 108% in the last 30 days. UNI’s price surged to a high of $19.35 before facing correction, with the broader market cooling down.
At present, $UNI is retesting its former resistance level near $16.40, now turned into support. A successful retest here could act as a springboard for further gains.
What’s Next for UNI?
If UNI reverses from this support zone, it could aim for the next resistance levels at $20.26 and $23.30, representing a potential 41% upside from the current price.
The RSI for UNI remains neutral, offering room for a recovery bounce in the coming sessions.
What To Expect Ahead?
Both LINK and UNI are showing resilience as they confirm their recent breakouts with retests. This is often seen as a bullish continuation pattern, suggesting the tokens may be gearing up for another move higher. However, Bitcoin dominance and overall market sentiment will play a pivotal role in determining whether these reversals materialize.
For investors, watching these critical support levels—$28.60 for LINK and $16.40 for UNI—will be essential. A bounce with strong volume could mark the beginning of another leg up in their bullish trends.
Get more updates at: coinsprobe.com
Disclaimer: This article is for informational purposes only and not financial advice. Always conduct your own research before investing in cryptocurrencies.
