Chainlink Technical Analysis on July 29, 2025: Will the Rally Continue?

Technical analysis of Chainlink on July 29, 2025, focusing on support/resistance and indicators.

Chainlink Technical Analysis on July 29, 2025: Will the Rally Continue? Chainlink (LINK), the decentralized oracle network bridging blockchains with real-world data, has long been a cornerstone of the crypto ecosystem. As of July 29, 2025, LINK is trading around $18.34, down a slight 0.26% in the past 24 hours. Despite this dip, it’s posted an impressive 47% gain over the past month, drawing the attention of traders everywhere. Can this bullish momentum hold? Let’s dive into the charts, indicators, and market structure to see what’s next for Chainlink. Market Snapshot and Price Behavior Chainlink has been on a strong uptrend recently, climbing from a low of $14.7 to its current $18.34. On the daily chart, it’s moving within an ascending channel and approaching a key resistance at $20. This level aligns with the 0.786 Fibonacci retracement and the 200-day moving average, making it a significant technical barrier. Trading volume, at $1.5 billion over the past 24 hours, signals robust market activity. But is this volume enough to push through the resistance? Key Support and Resistance Zones To predict Chainlink’s next move, we need to pinpoint critical support and resistance levels. The primary resistance sits between $19.2 and $20. A clean break above this could propel LINK toward $22 or even $30, both key technical and psychological targets. On the downside, if the price stalls, support at $16.2, which aligns with the middle Bollinger Band, should hold firm. A stronger support at $14.7 has also proven reliable in the past. Why do these levels matter? They’re where traders and algorithms make big decisions, and volume spikes at these points often hint at a trend shift or continuation. What Do Technical Indicators Say? Popular indicators like RSI and MACD offer valuable insights. The Relative Strength Index (RSI) on the daily chart is around 64, showing positive momentum but not yet in overbought territory (above 70). This suggests Chainlink has room to grow, though traders should watch for RSI nearing 70, which could signal consolidation or a short-term pullback. The MACD remains bullish, with the MACD line above the signal line and a positive histogram. However, a slight narrowing of the histogram might indicate fading momentum. Traders should look for volume confirmation to avoid false signals. Price Pattern Insights On the 4-hour chart, Chainlink has formed an ascending triangle, often seen as a strong bullish signal. This pattern is backed by rising volume at breakout points. That said, some analysts caution that without strong volume support, this could turn into a trap. Traders should watch for strong candle closes above $20 to confirm the bullish trend. Fundamental Factors at Play Beyond the charts, fundamentals are driving Chainlink’s momentum. Recent partnerships, like the CCIP protocol launch across multiple chains and the collaboration with DTCC for real-world asset tokenization, have boosted confidence in the network. Stablecoin volume on Chainlink has surpassed $230 billion, reflecting growing adoption. However, regulatory news or broader market volatility could create short-term turbulence. Trading Strategy Suggestions For traders, risk management is crucial at these levels. Waiting for a pullback to $16.2 could offer a lower-risk entry point. Conversely, a confirmed breakout above $20 with high volume might signal a buying opportunity. Either way, setting stop losses is essential to navigate this volatile market. Wrapping Up On July 29, 2025, Chainlink is riding a short-term bullish wave, but the $20 resistance is a key hurdle. Indicators confirm positive momentum, but traders should stay alert for signs of consolidation. With bullish patterns and strong network fundamentals, LINK has potential to hit $30. Can it break through? With careful risk management and a close eye on the charts, you might catch the next big move in this dynamic market.