Chainlink’s Crucial Price Test: Will It Break $13.92 or Start a Bullish Run?

• Chainlink (LINK) is testing critical support at $13.92, which will determine whether it enters a bullish or bearish phase.
• A breakout above $20.55 could signal a bullish shift, opening the door for a continued price surge in LINK.
• Key Fibonacci levels at $15.77 and $15.20 will play a crucial role in determining whether LINK faces support or resistance.

The price of Chainlink (LINK) is approaching a key support zone, with the $13,92 range being a defining factor for the future performance of the cryptocurrency. The price analysis from More Crypto Online reveals that currently, the price is at a key decisive area for the value of LINK in the foreseeable short-term direction it will take; whether it will follow a bear run or higher ground.

Chainlink Bullish Run Potential

The last couple of weeks appear to be characterized by a downward progression to the recent buying signal that was identified using the TD Sequential indicator. This price was reducing but there is a level that it came to which may define another major movement. This has been determined as the key level for the cryptocurrency having been recognized that the micro support zone is at $13.92. 

If LINK manages to sustain above this region, there is a probability that the markets will start to prepare for a bullish run. On the other hand, if it goes below this level, it may extend the bearish pressure in the shorter timeframe.

On higher time frames, the next major barrier is expected to be situated at $20.55. A breakout above this is a good indication of a fortunate change and will shift the trend towards a bullish outlook for chain link. Furthermore, the price movement suggests that if the price surges above $20.55, it may probably open the door for a further upsurge. 

Fibonacci Levels Impact

The analysis also indicates that there are other levels of Fibonacci retracement that may also be instrumental in identifying the next level of price action. Currently, the levels of $15.77 and $15.20 can be considered as significant levels of support. As of press time, LINK is trading at $14.68, showing a 5.11% decline over the past day.

Source: TradingView

These levels will assist in determining the support or the resistance that Chainlink is going to encounter next. The 38.2% and 50% Fibonacci levels can be considered as either support or a resistance level due to the variety of market responses to these indicators.

Traders should watch the volume and the level of sentiment as starting from here will determine if the price testestablish a sustainable rally. Thus, if Chainlink stays above these levels, it can mean the beginning of an upward trend, and if it falls below them, it can be indicative of a down spiral.