Chainlink LINK Plunges 6% Amid Market Downturn: Can $13 Support Hold?

Chainlink (LINK) dropped over 6% during a broader cryptocurrency market decline, following Bitcoin's downward trend. The token is now facing crucial technical challenges as bearish momentum intensifies.

LINK fell below its lower Bollinger Band at $16.10, indicating increased volatility and selling pressure. Resistance is seen at the 20-day moving average of $17.30—a key level that needs to be reclaimed to change the current trend. Technical indicators offer no immediate signs of recovery: both the RSI and MACD suggest further downside potential.

The $13 support level has emerged as a critical zone for long-term bulls. Market participants are closely monitoring this psychological floor, as a failure to hold could lead to another significant drop. Meanwhile, fluctuations in open interest indicate that traders remain divided on LINK's short-term direction.