Chainlink has had a relatively ‘flat’ few months since the May collapse of the LUNA ecosystem. The digital asset has since oscillated between the $10 resistance level and the $5.30 low set on June 13th, 2022, as seen in the one-day LINK/USDT chart below courtesy of Tradingview.com.
Chainlink Has a Pending Golden Cross
Also, the chart shows that Chainlink has a pending golden cross between the 50-day (white) and 200-day (green) moving averages. Golden crosses are usually bullish, and in this case, the event could allow Chainlink to shake off its ‘flat’ price action and move towards the $10 resistance area.
However, Chainlink might have to undergo a few more days of sideways before such a move to higher levels. This is because its daily MFI (green), MACD and RSI (red) are yet to hint at a bullish push despite the golden cross happening this coming week. The three indicators are actually pointing at an ongoing correction that could result in Chainlink dipping to lower levels before a confident break out to the upside.
Therefore, a wait-and-see approach or dollar cost averaging is recommended in anticipation of a possible move up.
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