Chainlink (LINK) price has witnessed a surge climbing over 10% in the last 24 hours after establishing support at the intra-low of $27.81. The cryptocurrency is trading near $29.98, with analysts suggesting a potential rally toward $50 in the coming weeks.

This trend follows a breakout from a long-term downtrend that spanned multiple years, supported by strong buying momentum and technical patterns. Subsequently, during the rally, LINK’s market capitalization jumped by over 9% surpassing the $18.7B market cap despite a dip in the 24 hour trading volume by 32%.

Chainlink Price Breaks Out of a Multi-Year Downtrend

Chainlink price current rally can be attributed to its recent breakout from a prolonged downtrend. The cryptocurrency experienced a notable shift in Q4 2024 after consolidating within a falling wedge pattern. Amid this recovery, Donald Trump’s World Liberty Finance has bought LINK tokens worth over $2.3m due to the Blackrock partnership speculation as we earlier reported.

According to ZAYKCharts, the breakout began after Chainlink price surpassed resistance levels at $13.50 and $17.50 earlier this year. These price levels, which previously acted as barriers, have now turned into key support zones. Following the breakout, Chainlink’s price has accelerated, with strong buying activity pushing it higher.

At press time, Chainlink is approaching critical resistance near $30.40, with analysts closely monitoring its price action for confirmation of further movement. A decisive close above this level is expected to pave the way for additional gains.

Moreover, Ali, a top crypto analyst on X, stated, “Chainlink looks like it wants to break out to $34. I will be watching for an hourly close above $30.4 to confirm the breakout.” Beyond $30.40, intermediate resistance zones are identified in the $35–$40 range, with a longer-term target of $55.39 being projected.

Analyst Predict 0ver 460% LINK Price Rally

Concurrently, several technical patterns support the ongoing bullish momentum for Chainlink. Crypto analyst ZAYKCharts highlighted two falling wedge patterns observed over the last three years.

The first wedge formed between 2021 and early 2022, while the second pattern developed between 2022 and late 2024. Both patterns culminated in bullish breakouts, signaling the end of Chainlink’s extended downtrend.

Subsequently, with its current trajectory, Chainlink price could be positioned for long-term growth. Analysts from ZAYKCharts have projected that LINK price could reach $55.39 if it sustains its current momentum and clears key resistance levels, a 467% rally.

The current LINK price rally has been further fueled by a 190% gain in Chainlink’s price since the breakout, reflecting increasing investor interest and strong market demand. Moreover, open interest in LINK derivatives has also risen by 13.82% in the last 24 hours, reaching $908.70 million.

LINK Price Technical Analysis, Will Bullish Momentum Persist?

On the LINK price 4hr chart, the Relative Strength Index (RSI) is moving above the 50 region reflecting the ongoing bullish momentum. However, the RSI has recently moved into the overbought region and is now below its signal line with a rating of 61.70 pointing to a potential correction soon.

Adding to the correction potential, the Moving Average Convergence Divergence (MACD) is converging reflecting the weakening bullish momentum. This MACD trend points to a consolidation phase looming backing the crypto analyst projection of a breakout to $34.

Moreover, the candlesticks have been consistently forming near the upper band without breaking below the middle band which is a signl to a strong bullish momentum. Adding to the Chainlink price bullish momentum, the Chaikin Money Flow (CMF) is moving in the positive region which is an indication of rising buying momentum, hence potential LINK price bullish breakout to the upside looming.

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Kelvin Munene Murithi

Kelvin is a distinguished writer with expertise in crypto and finance, holding a Bachelor’s degree in Actuarial Science. Known for his incisive analysis and insightful content, he possesses a strong command of English and excels in conducting thorough research and delivering timely cryptocurrency market updates.

Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.