September Spotlight on Chainlink: Analysis and Trade Recommendations

September beckons, and as the crypto space continues to whirl with activities, traders and investors are keen to know the prospects of various tokens. This edition highlights Chainlink (LINK), providing a clear, uncomplicated, and professional analysis of its potential this month.

Chainlink, popularly known as LINK, is currently trading at $6.27, enjoying a modest 24-hour increase of 2.10%. The following sub-chapters will delve into LINK’s technical indicators. Based on this analysis, we can provide a proper trade recommendation in the subsequent chapter.

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Before we delve deeper into the analysis of technical indicators, let’s first take a look at Chainlink’s recent price performance.

  • Over the past week, the coin has slightly decreased by 0.57%.
  • More noticeably, the monthly decline accounts for 16.39%.
  • Even worse, the yearly overview shows a 12.93% dip, with the highest and lowest points recorded at $8.956 and $5.133, respectively.

However, when zooming out and looking at the below price chart of LINK, one can see that LINK has been trading in a sideways channel for the entire year.

Chainlink (LINK) Price Chart and Analysis

Based on the recent declines, the market trend for LINK is noted as a bearish setup, backed by a strong trend strength.

A careful analysis of the trend indicators, spanning from short to long-term EMAs and SMAs, all signal a consistent downtrend. The ADX indicator backs this up, pointing at a strong ongoing trend.

The analysis of momentum indicators portrays a mixed scene for Chainlink — similar to many other tokens at this stage.

The RSI, Stochastic Oscillator, Williams R, MFI, and Stochastic RSI all hold a neutral position, hinting at a steady market momentum. However, the MACD suggests a bearish trend, signaling that caution should be maintained.

On the other hand, the PSAR also indicates a downtrend, hinting at a possible continued decline in price.

Chainlink (LINK) Technical Indicator Analysis - September 2023

At this point, and based on the above analysis it is complex to give a solid trade recommendation for Chainlink.

With the prevailing market indicators, traders might consider adopting a cautious stance while trading Chainlink (LINK) in September. The general downtrend suggests a potential risk for substantial investments. However, with the support and resistance levels standing at $6.02, $4.76, $6.94, and $7.72, respectively, adept traders might find opportunities to trade effectively within these bounds.

Especially if the overall market won’t go south, the current level offers a good entry for a swing trade back to $7.

More about Chainlink
Bearish Pressure Pulls Chainlink to $5.38: Time to Sell or Time to HODL?
Bullish Outlook: Chainlink (LINK) Aims for 40% Gain

In conclusion, LINK seems to be entering a phase where careful strategy and caution could be the underlying themes for September.

The current market conditions suggest opportunities and risks, making it advisable to adopt a measured approach for short-term trades or long-term investments.

About Chainlink (LINK) – Unfurling the Chainlink Story

Chainlink, abbreviated as LINK, has emerged as a significant player in the cryptocurrency arena. It facilitates secure and reliable tamper-proof data for complex smart contracts on any blockchain. Despite facing a challenging market situation recently, Chainlink remains a critical tool in the blockchain space, heralding potential growth and innovation opportunities in the coming months.

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