Chainlink Price Rebounds Above $16 Amid Bullish Technical Signs

Chainlink’s (LINK) price rebound above the $16 level has sparked renewed interest among traders and analysts, with some viewing it as a potential catalyst for further upward movement. After dipping to a recent low of $15, LINK has managed to stabilize above that threshold, albeit amid a broader bearish market backdrop [1]. The altcoin is currently trading at $16.57, down slightly in the last 24 hours, as market consolidation continues across the crypto space [1].

A key driver behind the recent bullish momentum is the launch of Chainlink Data Streams for U.S. equities and ETFs. This feature, which provides real-time, high-throughput pricing for traditional financial assets such as SPY, QQQ, NVDA, and AAPL, has already been adopted by major DeFi protocols including GMX and Kamino. The move is seen as a strategic step in expanding Chainlink’s utility beyond the crypto market and into the broader financial ecosystem [1].

Technically, the LINK/USD pair is showing signs of forming a Valid Trading Range (VTR), increasing the probability of an upward move. The RSI stands at 47, suggesting that the asset is approaching the bullish zone, while the MACD lines are nearing the neutral zone, indicating that bearish momentum is weakening [1]. Analysts have noted that the Transactional Liquidity (TLQ) could play a crucial role in providing the necessary liquidity for a potential rally, with the key resistance level currently at $16.87 [1].

If the bullish scenario unfolds, LINK could test its previous week’s high of $19.5 within the next few days or weeks. A successful break above this level could push the price toward $20.5, a level not seen since February [1]. However, the broader market remains volatile and could still see a sharp sell-off if bearish conditions persist. In such a case, LINK could drop to the $13.9 support level, with a further decline to $10.8 being a possible outcome if the downward trend continues [1].

Analysts from various platforms have highlighted the importance of the $16 level in determining the short-to-medium term trajectory of LINK. While the current rebound is a positive sign, it does not necessarily indicate a sustained bullish trend. The coming weeks will be critical in assessing whether the recent movement is part of a larger recovery or a temporary reprieve [1]. Investors are advised to keep a close watch on both technical indicators and broader market sentiment.

In the longer term, LINK is considered to have a bullish outlook, with key support levels identified at $13.50 and $11.00 [2]. The ability to hold these levels is seen as essential for maintaining a positive momentum. However, the broader altcoin market remains under pressure, and LINK’s performance is expected to be influenced by the direction of other major altcoins and macroeconomic factors [2].

The crypto market continues to operate in a highly speculative environment, where forecasts must be treated with caution. While the recent developments in Chainlink’s ecosystem and technical indicators offer some optimism, actual performance will depend on a range of variables, including regulatory developments and macroeconomic conditions [2].

As traders await clearer signals, the focus remains on whether LINK can consolidate above $16 and build a stronger foundation for future growth. Until the market provides more clarity, both bulls and bears are advised to maintain a balanced approach and avoid overcommitting to any single outcome [1].

Source:

[1] Invezz – What next for LINK after rebounding above $16? Check forecast – https://invezz.com/news/2025/08/05/what-next-for-link-after-rebounding-above-16-check-forecast/

[2] CryptoRank – August 2025 Altcoin Forecast: Can SUI, Chainlink, and ... – https://cryptorank.io/news/feed/2f8fd-august-2025-altcoin-forecast-can-sui-chainlink-and-stellar-pull-off-a-surprise-rally