Almost all November, LINK buyers were behind the wheel of the market pushing the price up. The final target, we wrote about in the previous article – the range of $16.5-17 has been achieved.
During this growth, buyers managed to go beyond the global wedge limits, in which the LINK price has been trading since September 2020.
However, the aggressive fall wave on 26 November reminded everyone of sellers’ presence on the market and returned the price within the consolidation wedge. The trading volumes in November showed great interest in the coin.
Though, deep corrections of each local growth wave indicate a high probability of buyers’ fatigue and the growth trend depletion.
Thus, the closing of the monthly candle called into question the confident LINK price growth continuation:
After the LINK price correction in September, it is quite difficult for buyers to push the price up. For two months, buyers could not close the September month candle. It seems that there is a consolidation in the range of $10-15.5, which buyers have not managed to break up yet.
Where does the price fall in LINK market change?
The latest downward momentum (25-26 November) was the most aggressive of all five previous attempts by sellers to seize the initiative in the market. Buyers managed to keep the global trend line and keep $12.6-13 under their control.
However, if we take the LINK price correction for the period from 25 October to 4 November, it took sellers 10 days to lower the price by 20%. At present, it took sellers 2 days to make a slightly deeper correction:
In addition, it is noticeable that after this unpleasant incident, trading volumes decreased significantly. Sellers took control of the local mark of $14.3 with the target to re-test $12.65-13.
If sellers manage to lower the price to this range – the market medium-term vector will further depend on the market participants’ behaviour results. Looking in more detail at the situation on the LINK market, it is visible that keeping the price to buyers cost high volumes:
The main battle for the coin is likely to take place in the range of $12.65-13
Nevertheless, the corresponding counterattack as in the case of BTC, ETH, AAVE coins did not happen. In addition, the chart clearly shows the LINK price successful slowdown in the local range of $14-14.3, which is not a strategic point. These facts suggest the weakness of buyers and the need to either increase buyers’ position in the consolidation range or the beginning of the correction and search for a new strong buyer below.
Therefore, the result of buyers’ behaviour in the range of $12.65-13 will show whether to expect a break of $16.5-17 from the current growth trend. In the worst case, breaking the range down will drastically lower the price to at least $10.5.