Chainlink (LINK) Shows Bearish Head and Shoulders Pattern, Potential Drop to $10-11
Chainlink''s LINK token is forming a classic head and shoulders pattern on daily charts, indicating potential bearish momentum. This pattern, characterized by a central peak with two lower highs on either side, often signals a trend reversal. A confirmed break below the neckline support could lead to a 20-25% decline, targeting the $10-11 support range.
Technical indicators further support the downside potential. Both the RSI and MACD display bearish divergences, with increasing selling pressure near the neckline. Analysts at Alpha crypto highlight the completion of the right shoulder, noting that high-volume breakdowns typically result in accelerated price drops. Traders are closely watching the $12.50 neckline as a critical decision point.
