Market Overview for Chainlink/Tether (LINKUSDT) on 2025-12-24

Summary
• Price tested key resistance at $12.25–$12.50, with a failed breakout and pullback.
• Volume spiked above $12.25, confirming a short-term reversal but failed to push higher.
• RSI and MACD showed bearish divergence after a late afternoon rally.
• Volatility expanded in early trading before stabilizing near $12.20.
• Fibonacci 61.8% support at $12.18 held, but bears appear to control momentum.

Chainlink/Tether (LINKUSDT) opened at $12.35 and traded between $12.13 and $12.52, closing at $12.23 by 12:00 ET. Total volume reached 898,225.77 LINK, with $11.03 million in notional turnover.

Structure & Formations

Price tested a key resistance cluster between $12.25 and $12.50 multiple times, but failed to break above $12.50. A large bearish engulfing pattern formed at $12.50–$12.42, signaling a likely short-term reversal. A doji appeared at $12.41–$12.43, suggesting indecision, while strong support emerged at the 61.8% Fibonacci level ($12.18) during the midday sell-off.

Moving Averages

On the 5-minute chart, the 20-period and 50-period moving averages crossed bearishly, indicating downward momentum. On the daily chart, price remains below the 50-period MA, but has held above the 200-period MA, suggesting a potential long-term support base.

MACD & RSI

The MACD turned negative after an attempted rally, and RSI flattened around 50, showing reduced momentum. RSI showed bearish divergence after the 01:30 ET high, as price continued to fall despite no significant drop in RSI. This suggests weakening bullish sentiment and possible continuation of the downtrend.

Bollinger Bands

Volatility expanded early in the morning, with price reaching the upper Bollinger band at $12.50 before retracting. By midday, volatility had contracted, and price remained in the lower half of the bands, suggesting a consolidation phase may be forming.

Volume & Turnover

Volume surged at $12.25 and $12.50, but failed to confirm a bullish breakout. The largest single-volume candle occurred at $12.25 (108,122.86 LINK), with a close at $12.24—showing aggressive selling after the initial rally. Notional turnover aligned with volume, but price failed to sustain the break, suggesting bears controlled the action.

Fibonacci Retracements

A key 5-minute retracement level at $12.25 acted as a resistance, while the 61.8% level at $12.18 functioned as a support. Daily Fibonacci levels are yet to form a clear structure due to the range-bound action.

Looking ahead, the market appears to be in a consolidation phase between $12.18 and $12.50. A breakout above $12.50 could signal renewed bullish intent, but until then, the short-term bias remains cautious. Traders should be mindful of increased volatility if the $12.18 support is tested again, with a risk of further downside if this level breaks.