Chainlink (LINK) is trading around $8.68, resting at the bottom of a falling wedge on the daily chart. According to the crypto analyst Master of Crypto, price has been compressing for months, with volatility steadily decreasing near key support.
Master of Crypto notes that such prolonged consolidation often precedes strong breakouts, making the cryptocurrency one to watch as buyers and sellers await the next decisive move.
Source: Master of Crypto X Post
The first major bullish signal would come with a clean break above $14.60, potentially unlocking further upside toward $19.00.
Compression like this historically leads to expansion, as pent-up momentum drives sharper price swings. Traders and investors are closely monitoring LINK, anticipating that a breakout could mark the end of consolidation and signal the start of a new upward trend.
Also Read: Chainlink’s Cross-Chain Vision Gains Momentum as Price Attempts Recovery Toward $11.50
Momentum Indicators Support Bullish Recovery
According to TradingView, the price of LINK has been ranging between $8.20 and $9.00. The price took a huge fall towards $7.00, but it has found support and has been rising steadily, forming higher lows and higher highs. Recently, it has been touching the resistance level of $9.00, which may result in a price breakout.
Source: TradingView
Technical indicators are signaling a cautious bullish sentiment. The RSI at 58.37 is building up steam without being overbought, leaving room to rise further.
Additionally, the MACD line is moving above the signal line, which is an indication of a short-term bullish reversal.
As the RSI is rising and the MACD signals are positive, it appears that the buying pressures are building up to test the $9.00-$9.20 resistance level; however, a pullback is still a possibility.
Chainlink Powers Pricing and Risk in Compound v4
Apart from this constructive price movement, the Compound Foundation announced on Wednesday, February 18, that it is integrating Chainlink into Compound v4, improving the backbone for institutions.
Chainlink has been powering Compound markets for more than four years, providing Data Feeds and Smart Value Recapture (SVR), which helps in the reclaiming of value during liquidation. This partnership helps in ensuring security, transparency, and value.
Compound v4 will expand to new markets, assets, and compliant institutional vaults. The reliable data feeds provided by Chainlink allow for the verification of pricing and risk controls, which are necessary for the safe support of complex assets such as tokenized treasuries, equities, and other products.
This integration further establishes DeFi’s institutional readiness and cements Compound v4 as a safe and scalable leader.
Also Read: Chainlink Breaks Key Resistance as Bullish Momentum Targets $10.20–$10.40 Level