Chainlink (LINK) Breaks Bullish Pattern, Targets 215% Gain

Chainlink (LINK) has recently demonstrated a repeating bullish wedge breakout pattern, a technical formation that suggests a potential upward price movement. This pattern is significant as it indicates a potential shift in market sentiment towards LINK, which has been gaining traction among investors due to its utility in decentralized finance (DeFi) applications. The bullish wedge pattern is characterized by a narrowing price range, with the upper trendline acting as resistance and the lower trendline as support. A breakout above the upper trendline typically signals a continuation of the uptrend, while a breakdown below the lower trendline could indicate a reversal. In the case of LINK, the recent breakout above the upper trendline suggests that the cryptocurrency is poised for further gains.

The current price level of LINK is crucial as it represents a key resistance level that has been tested multiple times in the past. A successful breakout above this level could validate the bullish wedge pattern and pave the way for a sustained upward movement. This price level is also significant as it coincides with a broader macroeconomic trend, which could provide additional support for LINK's price. Technical analysts have identified a similar structure now forming again. LINK is currently trading at $13.27 and may be setting up for a macro move toward the long-term trendline target of $41.

Crypto Avi, a crypto analyst, noted that Chainlink has broken out of a bullish pennant pattern on the daily chart. The setup formed over several weeks and resembles earlier formations that preceded large upward moves. Crypto Avi stated, “LINK Try to Breakout of Bullish Pennant pattern in the daily Timeframe, Expecting 2x Rally Incoming Days.” The pattern’s measured move projects LINK price toward the $30–$40 range, which matches historical rally zones. Volume rose during the breakout, validating strong buyer interest. This supports a potential rally continuation if momentum and volume persist.

Santiment reported that Chainlink ranks second in GitHub development activity among crypto projects. This includes code commits and repository updates over the last 30 days. The consistent development reflects increasing network build outs, CCIP and oracle integrations. This growth supports Chainlink’s infrastructure role in DeFi and cross-chain systems. The confirmed breakout suggests a potential shift in market structure. Resistance now stands at $16.00. If this level is cleared, LINK could approach $19.50, a previous supply zone. The daily RSI remains near 52, allowing room for further upside. Weekly MACD values show fading bearish momentum, while the CMF is turning flat, indicating slowing distribution. If indicators continue to improve, a move toward $30–$41 remains possible.

Ask Aime: What's next for Chainlink (LINK) after breaking out of a bullish wedge pattern?