- Chainlink is regaining strength with a 10% rebound, aiming for $14 as bullish sentiment grows amid crypto market optimism.
- Technical indicators signal potential upside, with analysts eyeing $14.50 as a key resistance before a possible rally to $22.
Chainlink (LINK) is regaining momentum after its early March high of $17.50, the token is once again making an upward move for another high within this month. Currently trading at $13.20, LINK is 2% up in the last 24 hours. The cryptocurrency gained about 10% from its lowest level of $12.01 on March 11. However, trading volume faced an 18% decline in the last 24 hours.
The resurgence follows heightened optimism in the crypto space, fueled in part by U.S. President Donald Trump’s announcement about creating a national crypto reserve. While LINK was not explicitly named, the mention of “other valuable cryptocurrencies” has sparked speculation that it could be included, further driving bullish sentiment.
Adding to the positive outlook, Chainlink’s Long/Short ratio points to buyers dominating the market. Bulls are aggressively purchasing LINK, reflecting confidence that the token will not see a deeper decline despite a brief pullback over the weekend.
Technical Indicators Signal Strength for LINK
On the technical front, Chainlink is exhibiting a hidden bullish divergence on the weekly chart. The cryptocurrency recently hit a weekly low of $11.85 before rebounding. If this trend holds, analysts predict a potential rally toward $22 or higher in the coming months.
The Relative Strength Index (RSI) is also showing signs of strength, forming higher lows while the price follows an ascending support line. Historically, this type of divergence signals a possible trend reversal. With 17.26 million LINK traded recently, buying pressure appears to be mounting, increasing the likelihood of an upward breakout.
Analyst Tony Bitcoin has identified $14.50 as a key resistance level. A successful breach could confirm a bullish move, prompting even stronger momentum. Crypto traders on platforms like MEXC Futures are taking advantage of zero-fee trading discounts in anticipation of a significant upside shift.
Altcoin Season and Potential Government Backing Boost Confidence
As spring approaches in the U.S., analysts suggest that the broader cryptocurrency market may be entering a bullish phase. From now until May, many expect a steady increase in altcoin prices, with Chainlink, XRP, and others leading the charge. Speculation surrounding a potential U.S. government-held crypto reserve is adding fuel to the fire as investors bet on its inclusion.
Crypto trader Nicu shared that insiders believe Chainlink’s Proof of Reserves technology is being integrated into the proposed strategic reserve. If true, this would mark a major milestone for the blockchain verification sector, enhancing transparency and security for national holdings. Such a development could send LINK’s price soaring.
While Chainlink’s current momentum is strong, sustained growth will depend on whether it can clear resistance and maintain buying pressure. If bulls push LINK past the $14.50 level, the next major targets could be $22 and even $30 in the longer term. Our long-term Chainlink analysis predicts $2000-$6000 by 2025-2028.
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