Chainlink approaches the 2-digit region
LINK rose from a low of $ 8.97 to a daily high of $ 9.50, before cooling down to $ 9.33 at press time. As the pressure mounts, the token seems to have more ground to rise. The breakout above the descending triangle on the daily chart shows Chainlink could increase for another 11% before its uptrend is exhausted.
The height of this pattern forecasts a $ 10.60 target for LINK as it broke through the $ 7.30 resistance on July 29. Rest of the market cryptocurrency is also showing signs of strengthening, so it looks like LINK will reach this target in the near future.
However, IntoTheBlock's In/Out of the Money Around Price pattern shows a strong hurdle ahead. About 3,300 addresses previously purchased nearly 26.4 million LINK from $ 9.82 to $ 10.12. This price zone can reject attempts by the bulls as investors can sell at breakeven after a period of losses.
Although LINK has the strength to hit double-digit territory, it is facing a very strong resistance area. The Tom DeMark (TD) Sequential indicator can also print a sell signal on LINK's daily chart. This potential formation could lead to a one to four daily candle correction before the uptrend resumes.