Chainlink (LINK) struggles in a bearish market, mirroring broader crypto downturns.
LINK's MACD indicators show increasing bearish momentum with fluctuating price ranges.
Support levels and holder distribution suggest potential further declines or a future rebound.
Chainlink (LINK) has taken a significant hit recently. This mirrors the broader downturn seen across the crypto market. Currently, LINK is struggling to break free from a bearish trend. This follows a larger trend where top cryptocurrencies like Bitcoin and Ethereum have also suffered notable price drops.
LINK Struggles in a Bearish Market
In the last 24 hours, LINK has been confined within a narrow range, fluctuating between $10.22 and $10.7l. Trading volume for LINK surged by 29.25% during the same period, suggesting that traders are still active, though sentiment remains negative.
The Moving Average Convergence Divergence (MACD) is firmly in bearish territory, with the MACD line falling below the signal line. The increasing red bars on the histogram further emphasize growing bearish momentum, reinforcing the negative outlook.
Market Sentiment and Holder Distribution
Chainlink’s price might find some initial support at the $10.00 mark. If the market downturn continues, further declines to $8.00 or even $7.00 could be on the horizon.
In terms of holder distribution, data from IntoTheBlock reveals that a substantial portion of LINK is 'In the Money.' This group, holding 558.18 million LINK worth about $5.94 billion, bought the token at lower prices.
They make up 55.82% of the holders. Conversely, 397.45 million LINK, valued around $4.23 billion, is 'Out of the Money,' with holders having purchased at higher prices.
This group represents 39.74% of the distribution. The remaining 4.44%, or 44.38 million LINK, is 'At the Money,' bought close to the current market value of $10.64.
On the brighter side, a potential rebound in the market could shift the narrative. If bullish trends take hold, LINK could push past the $15.00 resistance mark.
Sustained bullish momentum might even drive the price up to $20.00 or potentially reach a high of $30.00. However, for now, the cryptocurrency faces an uphill battle against the prevailing negative sentiment.
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