The cryptocurrency industry has experienced a weekend of consolidation as the market moved sideways. As bulls and bears continue to fight for power, top coins continue to struggle to gain bullish momentum.
Chainlink price has experienced the same price action as the coin has been trading in a comprehensive range since the beginning of the month. LINK price has recently formed a symmetrical triangle and is on the verge of breaking out of it, the outcome of which is uncertain.
The LINK token has been continuously trading upwards with the support of the trendline. The token has made several attempts to break above the trendline but the bulls have managed to keep the price above this level, indicating a possible reversal in the market trend.
As LINK price surged, the token has been trading in a range between $7.322 and $7.576. LINK price recently attempted to break above the $7.962 resistance but was rejected, indicating high volatility and loss of momentum, leading to a decline in price.
The RSI has been close to the midpoint since early October, indicating weak buying and selling power in the market. Moreover, the chart shows that there is a possibility of a bearish convergence of the moving averages, which could cause the Chainlink price to plummet in the coming days.
Will LINK price breakout or crash in the coming days?
If the bulls gain strength and the Chainlink price breaks out of the triangle, the price will start trading with a bullish influence and will be ready to test the $7.962 resistance level. Moreover, if the market continues its upward momentum, the price will retest its overhead resistance at $8.290 this week.
On the other hand, if the bears overwhelm the bulls and the price breaks out of the triangle, the price will lose momentum and fall towards the $7.201 support area.
Moreover, if the market fails to hold the price at this level, the coin will decline further and test its lower support at $6.905 soon.