Chainlink Plunges Below $16.86 - First Time Since August as Analysts Spot Critical Buy Zone for Market Rally
Chainlink breaches critical support level - markets watching closely
The Breakdown
Chainlink just shattered the $16.86 barrier that held firm since August, sending tremors through the crypto space. This isn't just another dip - it's a fundamental breakdown of key technical support that traders have been monitoring for months.
Analysts Identify Silver Lining
While the price action looks brutal on the surface, market technicians are circling what they call a 'generational buy zone.' The same analysts who called previous bottoms are now pointing to this exact price range as the launchpad for the next major rally. They're betting that smart money is accumulating while retail investors panic-sell.
Market Mechanics at Play
This isn't about fundamentals - it's pure market psychology meeting technical analysis. The break below $16.86 triggered stop losses and margin calls, creating the very oversold conditions that typically precede explosive rebounds. History shows that when LINK reaches these extreme fear levels, the bounce can be violent and rapid.
Timing the Turnaround
The big question isn't if Chainlink will recover - it's when. Market veterans know these washout moments often create the best entry points, while the same Wall Street 'experts' who missed Bitcoin at $3,000 will probably declare crypto dead (again) right before the next leg up begins.
What’s Next for XRP?
XRP has come a long way from the mid-summer rally when it exploded from $2.20 to $3.65 to register a new all-time high. Since then, it’s declined by nearly 40% and has dropped by two spots in the ranking of the largest cryptocurrencies by market cap.
ChatGPT outlined the predominantly negative sentiment in the cryptocurrency community, as its leader remains “dominant and volatile,” while other alts, like ETH and BNB, have coped better than XRP. In fact, it said Ripple’s token is “lagging hard,” which suggests “a rotation away from slower-moving assets.”
Consequently, its prediction for the week is not favorable to the XRP Army. It outlined the first strong resistance levels, at $2.20 and $2.10, which could prevent a potential drop to $2, even though some analysts believe XRP “wants” to go there. If it indeed slips to that line, it should face a stronger support, which was formed in the spring of 2025.
In case of an unlikely price reversal, XRP’s first resistance targets lie at $2.40-$2.50, followed by a bigger hurdle at $2.80.
Bears Still Hold on Tight
After a 19% weekly decline and a 24% monthly drop, it isn’t easy to be bullish. Consequently, ChatGPT put the highest chances for a bearish continuation in the week ahead (45%-50% probability). It broached the aforementioned support levels, and said XRP must maintain $2.00 to avoid another possible nosedive to $1.60.
Although it asserted that the bears are most likely to remain in control, it also outlined the possibility of a tactical rebound following such a massive correction. According to the AI chatbot, there’s a 35% probability for such a bounce to somewhere around $2.50 and $2.60.
Interestingly, it believes the chances for a price stabilization at these levels (between $2.10 and $2.40) are the slimmest. With a 15% to 20% probability, ChatGPT ranked this as the least likely option for the next seven days.
“The momentum and sentiment both lean bearish, but the setup looks technically oversold. Base case: mild continuation lower early in the week, followed by potential stabilization NEAR $2.00.
Unless Ripple announces a major development (e.g., RLUSD expansion, new exchange partnership, or institutional pilot), a strong recovery next week is unlikely,” it concluded.
