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Chainlink (LINK) Price Prediction: Is a 30% Decline Next?

2 mins
Updated by Ryan James
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In Brief

  • Chainlink price is moving in a descending triangle at the moment, signaling a 30% correction.
  • Participation is declining considerably, with active addresses now at a six-month low.
  • Given the deviation of investors conducting transactions on the network against price, a sell signal is being flashed at the moment.
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Chainlink’s (LINK) price is currently stuck in a bearish continuation pattern that could result in a considerable decline.

Investors are not particularly optimistic either, which could result in LINK failing any potential recovery.

Chainlink’s price is falling lower daily due to broader market conditions. Such bearish market conditions are sometimes flipped into bullish ones by the activity of the investors. However, this is not the case with LINK.

Active addresses, i.e., addresses conducting transactions on the network, have hit a new low after declining for the past couple of days. In the last 24 hours, less than 3,500 investors have participated in Chainlink, the lowest figure since October 2023.

Chainlink Active Addresses.
Chainlink Active Addresses. Source: Santiment

This shows that LINK holders are not particularly optimistic at the moment, extending their bearish behavior.

Read More: How to Buy Chainlink (LINK) With a Credit Card: A Step-By-Step Guide

Furthermore, daily price active addresses divergence, which flashes a sell signal at the time of writing. During instances when the price stays strong and participation declines, selling becomes highly probable.

Chainlink price DAA Divergence.
Chainlink price DAA Divergence. Source: Santiment

Additionally, this is the strongest sell signal noticed in the past year, which directly hints at the potential selling that is about to come.

Chainlink’s current price is set to see a considerable drawdown owing to the descending triangle pattern it is stuck in. A descending triangle is a bearish chart pattern characterized by a horizontal support line and descending trendline, indicating potential further downside as selling pressure increases within a narrowing price range.

Based on this pattern, the downside target for Chainlink’s price is $11.98, which would mark an almost 30% correction for the investors.

LINK/USDT 1-day chart.
LINK/USDT 12-hour chart. Source: TradingView

Read More: How To Buy Chainlink (LINK) and Everything You Need To Know

However, halving induces bullishness in the market, and LINK follows the cue, so it could break out of the pattern. This would rally towards $18.73 and beyond, invalidating the bearish cues.

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In line with the Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult with a professional before making any financial decisions. Please note that our Terms and ConditionsPrivacy Policy, and Disclaimers have been updated.

Aaryamann Shrivastava
As a Mass Media (Journalism) graduate, my journey into cryptocurrency journalism has evolved into a distinguished role as an On-Chain Analyst over the past two and a half years. Collaborating with industry-leading media companies like FXStreet, AMBCrypto, and FXEmpire, I’ve delved deeply into the intricate realms of Crypto and Blockchain, crafting over 2,500 meticulously curated SEO-focused articles. Driven by a commitment to excellence, I remain steadfast in delivering the highest caliber...