The Oracle network’s native token Chainlink fell below $12 on Monday as the broader crypto market pullback overwhelmed anticipation of the token’s debut in a U.S. spot ETF.
The LINK token has fallen more than 11% in the past 24 hours, with a bearish technical picture indicating a breakdown, noted technical analysis tool CoinDesk Research.
This weakness came despite the announcement that asset manager Grayscale is set to convert its LINK closed trust into an ETF structure. Well-followed ETF analyst Nate Geraci said the ETF could begin trading this week on NYSE Arca.
Still, traders seemed more focused on the technical outage than the regulatory stage. A volume spike at 7.14 million LINK, approximately 280% above the daily average, pushed the token below the $13.00 support level, noted technical analysis tool CoinDesk Research. Prices slipped to $11.94, establishing a bearish pattern of successive highs and confirming downward pressure.
The weakness also reflects broader risk sentiment in crypto, as bitcoin fell to near $84,000 in the morning in the United States, amid macroeconomic nervousness and speculation about a Bank of Japan rate hike.
Key levels to watch:
- Support/Resistance: Immediate support now stands at $11.87 and resistance at $12.26, the previous breakout point.
- Volume Analysis: Volume of 7.14 million tokens marked a peak of 280% above average, confirming institutional selling pressure.
- Chart Patterns: Break below the descending trendline with an 11.7% decline in the $1.56 range.
- Targets and Risk: Further decline could target the $11.70-$11.80 area, with the November low at $11.39 as the next level to watch.
Disclaimer: Portions of this article were generated with the help of AI tools and reviewed by our editorial team for accuracy and compliance with our standards. For more information, see CoinDesk’s full AI policy.
