Chainlink (LINK) price action flashed a ‘Buy Signal’ on the daily time frame. That suggested a potential reversal of the downtrend, which has stayed since the start of 2025.
SuperTrend Indicator Flashed a Buy Signal
The SuperTrend on the Chainlink daily chart flashed a buy signal when price closed above the $14.20 resistance. It showed a potential shift in momentum.
LINK was trading at $14.99 at press time after breaking out of the colored SuperTrend zone. That indicated strength on the upside.
If this breakout sustains, LINK could target the $16.00 level, which is minor horizontal resistance.
LINK daily price chart | Source: Trading View
A confirmed break above $16 may lead to $18 in weeks. However, a failure to stay above $14 would nullify the buy signal, and LINK may retest the $13.20 support.
SuperTrend’s change from bear to bull registered rising buying pressure, but close to key resistances indicated volatility. Traders must watch the $14 and $16 levels closely for confirmation.
Chainlink Price Prediction
Chainlink price posted a clear inverse head and shoulders on the 6-hour chart, pointing to a potential bullish reversal. The resistance line at the neckline that accumulated in the $15.30 to $15.70 range was broken, signaling growing strength.
If LINK remains above this level, it could attempt to break towards $16.00 to $16.50, the following major resistance levels.
A confirmed breakout above $16.50 would trigger a 25%-30% rally. It could take LINK to the $20.50–$21.00 area by the first week of May.
The pattern looks bullish if LINK holds in the range of $14.50–$15.00, which now serves as support after the breakout.
LINK 6-hour chart | Source: Trading View
Failure to hold above $15.00 would signal a pullback to $13.70. It is the level at which the right shoulder of the pattern is formed. If $13.70 won’t hold, a deeper retracement to $12.00 cannot be ruled out.
The resilience exhibited by utility tokens within the larger market, topped by this bullish technical setup, implied that LINK could maintain its outperformance as long as momentum was sustained. Traders should keep a close eye on $16.00 and $16.50 for a confirmatory breakout.
Generally speaking, upside was potentially favored, yet caution would still be justified should LINK drop below the $14.50 crucial support.
Chainlink’s Participants’ Sentiment
Despite the positive signals from Chainlink, the sentiment chart plotted a Crowd Sentiment score of -0.47 and a Smart Money Sentiment score of -0.76. Both indicators were mildly negative, echoing retail and institutional traders’ conservative to mildly bearish positioning.
Sentiment lagged despite prices logging bullishness, such as the potential inverse head and shoulders breakout and SuperTrend buy signal. That showed skepticism about the continuation of the rally.
Market sentiment | Source: Market Prophit
This gap between how people felt and what the price was doing could lead to one of the two outcomes: either a stronger rally if the skeptics start chasing those higher prices, or a sudden drop if the buying momentum starts to fade.
If LINK price holds steady above $15.00, the negative sentiment will flip. It would pave the way for some serious gains. Conversely, if bearish sentiment grows stronger, it may press on price and force LINK back down towards lower supports.
In general, market participants stay on their toes since crowd caution tends to occur before a major trend reversal.
