Chainlink Prints Head and Shoulder as Sui Remains at $2.70

Chainlink had a strong start to the week, surging from $13 to $ 14.1, representing a gain of over 8%. However, trading action on Tuesday showed that the asset failed to continue the surge.

LINK retraced to a low of $12.8 but rebounded and closed at $12.9. The downtrend extended into Wednesday, with the cryptocurrency dipping to a low of $12.6. 

Data from Cryptocurrenciestowatch reveals that the asset is experiencing less interaction from traders. It is seeing a more than 34% decline in trading volume as prices reflect more bearish participation. 

The 2-hour chart shows the bulls struggling to restart the bullish uptrend. They registered slight success a few hours ago. However, trading actions in the last three hours shows that the slight increase is evaporating. The cryptocurrency may be shaping up for further declines.

Chainlink Prints Head and Shoulder Pattern

The price trajectory since April revealed a bearish pattern. The asset rose to a peak of $15.3 on Apr. 25 and then retraced. It resumed its uptrend a few days later, surging to a high of $17.9 before another massive decline. The token resumed its uptrend, peaking at $15.6 on Jun. 10. The three peaks form a head and shoulder pattern, as seen in the chart below. 

Traditionally, this pattern will mean further price declines for the asset. It is worth noting that this is the first time the surge trend has appeared on the one-day chart. Nonetheless, it had an inverted head and shoulder before the present. LINK did not surge as high as many anticipated.

The bearish state of the cryptocurrency market may exacerbate the current trend, leading to significant declines.

Nonetheless, Chainlink is trading close to its fourteen-day low. It rebounded off the mark a few hours but risks retesting it. Although there is notable demand at $12.6, the pivot point standard shows that the asset may retrace to the first support at $12.2.

However, previous price movement suggests that the cryptocurrency may dip to $10.5 after losing $12.6.

While Chainlink prints bearish signals, the bulls eye a return to $14; a surge to this level is likely as the asset sees massive buying volume around its current price mark.

Nonetheless, Sui is struggling to return to its opening price after its decline to $2.70 a few hours ago. The coin retraced from $2.91 on Wednesday, continuing the previous day’s downtrend that saw it lose over 5%.

The asset trades above the first pivot support after briefly losing it. It is worth noting the coin’s Wednesday low is its lowest value since April, and previous price movements show no support level close to it.

SUI May Retest $2.20

The cryptocurrency is at a crossroads. There is uncertainty over Sui’s next action as investors eagerly anticipate the FOMC decision. Previous price movements suggest that if the bulls fail to resume buybacks, the asset may sink as low as $2.20. 

The fibonacci retracement level supports this speculation as it highlights no critical levels close to the current price. SUI may retrace until it rebounds at $2.51. Readings from this metric coincide with the massive 12% drop in trading volume. 

Conversely, it rebounded after slipping out of the bollinger bands. Such a move may mark the end of the downtrend. The cryptocurrency will look to retest the middle band at $3.20. 

The post Chainlink Prints Head and Shoulder as Sui Remains at $2.70 appeared first on Cointab.