Chainlink (LINK) Dips 7%: Key Support Zones at $20–$20.5 and $17–$18 to Watch

ChainLink (LINK)

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  • LINK drops 7.3% after failing to surpass $23.53 resistance.
  • $20–$20.5 and $17–$18 are critical support levels.
  • Current decline is a controlled pullback, not a structural reversal.

Chainlink (LINK) has recently experienced a short-term decline, sliding below a key trendline that signals a slowdown in upward momentum. Trading at $21.82 at the time of writing, LINK dropped 7.3% over the past 24 hours. While this correction reflects a temporary loss in buying strength, the broader price structure remains intact, with traders eyeing potential support levels for the next move.

Resistance Caps Gains at $23.53

Analysis of LINK’s 12-hour chart shows the token struggling to break through the resistance zone at $23.53, which has halted multiple attempts to extend the recent uptrend. Immediate support sits near $21.72, a level that has historically acted as a holding point during prior pullbacks. Although the decline below the local trendline signals weakening short-term momentum, technical indicators suggest that the asset is undergoing a controlled pullback rather than a full-scale reversal.

Key Buy Zones in Focus

Following the short-term dip, two critical support areas have emerged. The first lies between $20 and $20.5, which recent consolidations suggest could act as a rebound point for LINK. The second zone, spanning $17 to $18, has previously attracted significant buying pressure during deeper retracements. Market participants are closely watching these levels, as stabilizing around $20 could allow LINK to attempt another move toward resistance, whereas a breach may open the door to a deeper correction.

Also Read: Chainlink (LINK) Price Falls Below $22 as Whales Dump $15M — Bearish Pressure Builds

Outlook for LINK

LINK’s trading range of $21.79 to $22.15 over the past session points to subdued volatility and a market in pause mode, supported by a volume of roughly 336.44K. Momentum indicators continue to show a gradual compression, aligning with the downward parallel channel observed since early September. Traders are closely monitoring the $20 support zone, as its defense may signal short-term stabilization, while a failure could shift focus toward the $17-$18 range. Overall, LINK remains in a defined consolidation pattern with lower highs indicating a measured slowdown rather than structural collapse.

Chainlink’s recent dip reflects temporary weakness rather than a breakdown of its medium-term structure. Key support zones at $20–$20.5 and $17–$18 will likely determine the next phase of market action. Traders are advised to watch these levels closely as the token navigates its current pullback.

Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.