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Chainlink (LINK) Eyes Up a Huge 55% Surge to Highs of Over 20 USD.

November 9, 2020


Talking Points:
● LINK bounces off of levels just below 10 USD and gains momentum towards 20 USD.
● Resistance at 13 USD must be broken for gains towards 20 USD can start to
materialise.

LINK is one of the top-performing digital assets in the market at the start of the new week.
Bitcoin surged to 16,000 USD last week but dropped lower to look for support at 14,500 USD.
Stability appears to have returned to the market following the outcome of the U.S. presidential
elections. Unlike Bitcoin, LINK made a significant recovery from its dip of late below 10 USD.

This mini surge saw LINK almost hit 14 USD before it rebounded to seek short-term support
before continuing the upward trend. At the time of publishing the token was trading at 12.47
USD. Any downward movement is supported by the 100-day Simple Moving Average (SMA)
and on the upside, LINK is fighting the resistance at 13 USD to start the surge towards 20 USD.

Highlighted by the Relative Strength Index (RSI), the token price is currently in the bulls’ hands.
While the signs may be bullish it has still not reached the overbought zone, giving more
potential for further growth.
LINK/USD Daily Chart:

Chart created using https://www.tradingview.com/

A break over 13 USD will go far, encouraging more buyers into the market and additional buy
orders will have a knock-on effect on the buying pressure, pushing LINK towards 20 USD.
However, the price action will continue to be limited in the short-term because of the low trading
volume in the market.

However, it is worth noting that forming an ascending triangle pattern on the daily chart is a
bearish signal for LINK. In this scenario, the following downward movement may transpire,
especially if the barrier at 13 USD is not cleared. On the downside, the 100-day SMA is ready to
offer support, while the 50-day SMA will halt losses below 10 USD. However, If it falls lower
than 10 USD, the 200 SMA will come into play, slightly over 8 USD.

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