LINK lost $8.38 support, confirming a bearish break below the rising trendline. Bears target $7.87, $7.67, and $7.40 while resistance remains near $8.38. Buyers must reclaim resistance to inv
Chainlink — LINK, has entered a crucial phase after losing one of the most important support levels on the chart. Selling pressure pushed LINK below the $8.38 mark, confirming a break beneath a long-standing rising trendline that previously supported higher prices. That move has shifted momentum away from buyers and handed control back to the bears. Unless bulls quickly reclaim lost ground, the current technical picture suggests further downside could follow. Traders are now watching closely for confirmation as the market decides whether this breakdown marks the beginning of a larger decline.
https://twitter.com/CryptoPatel/status/2080978875425652991LINK's drop below the $8.38 support level carries more weight than a normal price correction. That area had repeatedly attracted buyers and helped maintain the broader uptrend. Once sellers forced price below both support and the rising trendline, the previous bullish structure began to break apart. Higher lows disappeared from the chart, while bearish momentum continued building.
Such technical changes often encourage more sellers to enter the market, especially when confidence among buyers starts fading. The former support zone between $8.38 and $8.48 now becomes a major resistance area. Technical traders often expect broken support to turn into resistance during a relief rally. If LINK climbs back toward that range but fails to move higher, fresh selling pressure could emerge.
Such a rejection would strengthen the bearish outlook and increase the chances of another leg lower. On the other hand, buyers must reclaim that zone with strong volume before any meaningful recovery can begin. Current price action also points toward several downside objectives. The first target sits around $7.87, which could offer temporary support if buyers step in.
The technical outlook currently favors sellers as momentum continues pointing downward. Losing both horizontal support and trendline support has weakened bullish confidence, making any short-term recovery more difficult. Until buyers prove they can regain control, traders will likely remain cautious and watch for signs that bearish momentum remains intact.
For traders looking at short opportunities, the area between $8.38 and $8.48 remains the preferred entry zone if price retests resistance. Such a setup depends on sellers defending that level once again. Profit targets remain at $7.87, $7.67, and finally $7.40, while a stop loss above $8.58 helps protect against an unexpected bullish reversal.
Proper risk management remains essential because cryptocurrency markets can reverse direction quickly. The next few trading sessions could determine LINK's short-term direction. A failed attempt to reclaim former support would strengthen the bearish case and increase the probability of fresh lows. However, a decisive move back above resistance would invalidate the current breakdown and shift momentum back toward buyers.
