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Chainlink Price Prediction 2025: LINK Maintains Bullish Momentum Despite 15% Drop

LINK fell after the US Fed announced its interest rate guidance for 2025. However, it did not break any critical support levels from the upside.
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Key Insights:

  • Chainlink sees mild recovery after falling 15% intraday on 19 Dec 2024.

  • LINK fell after the US Fed announced its interest rate guidance for 2025.

  • Prior to that, LINK had crossed critical resistances of $20 and $23.

  • Since Chainlink did not break any of them from the upside, LINK is still bullish on weekly charts.

Chainlink's price has seen a rather unexpected fall of 15% intraday despite being very close to crossing the $33 resistance, which could have shot LINK towards $53, the last ATH. However, due to the US Fed-related correction in the markets Chainlink corrected 15% from $27.8 to $23.6 levels today. At press time LINK had recovered and was at $24.7.

Chainlink's Last 7 Day Price Trends

Chainlink's Last 7 Day Price Trends

CoinMarketCap

This week, almost all gains by Chainlink were wiped out due to the current fall.

The current fall was mostly unexpected, as Chainlink was supposed to cross the $33 resistance. However, in retrospect, the cause of the deep price correction seems to be the phenomenal growth in LINK.

The current market turbulence gave an exit opportunity to the short-term holders in it, who, as per Into the Block, are at 5%. This sums up why, at press time, the price of LINK had a 9% correction and not more.

Chainlink is the 12th largest cryptocurrency, with a market cap of $15.2 billion.

LINK is Still in Bullish Territory

Despite this fall, Chainlink is still mostly in bullish territory. This is because the price of LINK reversed its downfall from $23.6, which acted as the crucial support level. Also, its price still has a monthly gain of $67.8%, beating most major altcoins.

Chainlink USDT Weekly Charts From Tradingview

Chainlink USDT Weekly Charts From Tradingview

Tradingview

Chainlink crossed the resistances of $20 and $23 earlier this month and reached a high of $30. The current fall in LINK arises from the change in the US Fed's interest rate policy, which will only see two rate cuts in 2025.

On the weekly charts, the price of LINK has made a bearish engulfing pattern (the last red candle), which shows that if crypto markets do not get bullish soon, the price of LINK could see selling pressure from its medium-term holders that make up 17% of its token holders.

However, due to the strong presence of 78% long-term holders and strong fundamentals, LINK's price is not expected to reverse its bull rally in 2025.

Strong Fundamentals Prevent LINK From Falling Down

Chainlink has perhaps the strongest fundamentals in crypto markets after Bitcoin and Ethereum.

Chainlink has near-market domination, while the second largest competitor, Supra Oracles, is much smaller than LINK. Other competitors, like QED, have a minimal presence.

Chainlink also has forayed into the RWA space with 21X as its partner. Both companies have entered the European markets where the RWA space has lately been booming. The partnership will offer USD-based tokenized money market funds.

Another business that has proven to be highly beneficial for Chainlink is its cross-chain protocol called CCIP. The protocol helps in the easy transfer of cryptocurrencies between 21 blockchains.

Chainlink has also launched its own blockchain that can make it's operations more safe and grant it freedom from the fees it has to pay to Ethereum for recording its data.

LINK's Long-Term Price Predictions

As soon as LINK crosses $33 on the upside, it is expected to enter a massive rally taking its price around 50% higher and cross the ATH of $53.

The hope for such a rally is still intact because LINK hasn't broken its two resistance at $23 and $20, respectively.

However, we do not expect this rally to start anytime this year because of the formation of a bearish candle and also because of the current market corrections.

Disclaimer: Voice of Crypto aims to deliver accurate and up-to-date information, but it will not be responsible for any missing facts or inaccurate information. Cryptocurrencies are highly volatile financial assets, so research and make your own financial decisions.

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