Chainlink Price Prediction: The steady submarine looking to stabilise

Chainlink Price Prediction: The steady submarine looking to stabilise

Chainlink has been a steadily growing altcoin during this bull run. Putting in consistent gains where at times it may seem slow, weeks like these remind us exactly why we love and hold and Chainlink. Link has put in yet another ATH at $51.25 which represents a 118% move since it's local bottom on the 24th March. As Link operates on the Ethereum chain it makes sense that one of the first coins feeling the effects of the Ethereum tsunami is Chainlink and according to my analysis, we're not done with this run just yet.

The TA uses the previous run to the previous ATH to target where we could end up for this part of the run. We can see that on the last run, Chainlink increased by $28 to the new ATH, which is a huge rise. Using that as the flagpole for our next run, I have used the $31 level as the bottom for this representing the last re-test of the previous breakout level. This leads us to a target of a psychological level of $60 for the end part of this run. 

In the immediate short term, the RSI shows that Chainlink did slightly enter the overbought region which suggests a short term retracement may take place, most likely falling to either $44.50 or down to $35.50. Once again, the target for this run is $60 using this TA.

LINK vs BTC

The previous support line for the acsending channel is now being used as the resistance for what could be a new channel being formed. We can see that Chainlink is currently re-testing that new rising resistance line and it remains to be seen whether it will continue to go up and break through it. A breakout would represent Chainlink going parabolic and would most likely reach the previous ATH of 0.0017 BTC. At the moment, the current week has wicked towards the resistance level which could indicate an early signal of a reversal in the trend.

LINK vs ETH

As with all altcoins in recent weeks, Chainlink has been bleeding heavily against Ethereum for a while now. However, we are approaching very heavy support areas and with a few months of consolidation in this region, this could prove to be a reversal. Again, as the Ethereum cash begins to flow into Chainlink we could see it make some ground once again. 

The main question to ask in this case would be whether Ethereum is done with its run just yet? If yes, then Chainlink has a very strong case for a reversal, if not, Chainlink could face further consolidation or even a further drop in its valuation in Ethereum.

Overall, I am very bullish on Chainlink and I believe it will reach $60 at some point. However, another question that I should seek to answer is whether I should keep Link over Ethereum in the short term. I believe Ethereum is set to have another strong month in May as it historically has done and could even hit $5000 by the end of this month. On the contrary, in recent months where Ethereum has pumped, we can see that Chainlink has managed to keep up the pace at this region and so it may be unnecessary to swap one for the other.