The current market sentiment for cryptocurrencies is dipped in ‘fear.’ However, altcoins have been showcasing interesting trajectories. In a similar context, Chainlink’s sustained close below the $16.6-level might propel a test of 20/50 SMA on the 4-hour chart. Curiously, at the time of writing, LINK needed to ensure its RSI trendline support to stall the sell-off. Furthermore, Uniswap and Sushi flashed a slight bearish edge while their RSI depicted weak signals.
Chainlink (LINK)
As the buyers lost vigor after breaking down from the up-channel (white), LINK plunged by 48.56% to hit its six-month low on 24 January. The buyers finally showed up at the $15.16-mark as the alt recorded a 35.3% recovery since then.
As a result, LINK saw an ascending triangle (white) breakout but failed to cross the $17.76 resistance. Now, the buyers needed to step in to prevent a fallout as the bears kept testing the $16.6-level. Any further breakdowns would find support at the 20-SMA (red), followed by 50-SMA (cyan).
At press time, LINK was trading at $16.67. After crossing the vital 45-mark, the alt’s RSI tested the overbought region. Over the past day, it fell by 17 points and found support at the midline that coincided with its trendline support (yellow). Any breakdown from here would find testing grounds at the 45-level.
Uniswap (UNI)
Source: TradingView, UNI/USDT
Ever since reversing from the $18.14-mark, UNI bulls have not been able to propel a sustained trend-altering rally. As a result, the alt noted a 47.51% fall (from 17 January) until it hit its one-year low on 24 January.
Over the past few days, it saw a down-channel (yellow) on its 4-hour chart. Then, after an over 19% revival, UNI broke out of the pattern but reversed from the $11 supply zone (yellow, rectangle). The immediate testing grounds for the bears stood at the $9.95-mark support.
At press time, the alt traded at $10.39. After the down-channel (green) breakout, RSI saw a remarkable rally that reversed from the 59-mark. After this fall, it lost its trendline support and tested the 40-level support, depicting a bearish bias. To top it up, the Squeeze Momentum Indicator now flashed grey dots as it fell towards its midline, pointing at a high volatility phase.
SUSHI
Source: TradingView, SUSHI/USDT
Since 30 December, SUSHI retreated in down-channel (white) on its 4-hour chart and flipped the 20-SMA (cyan) from its support to resistance. SUSHI marked a nearly 64.62% retracement (from 30 December) as it plunged toward its one-year low on 24 January.
Over the past few days, the alt saw a descending triangle (yellow) on its 4-hour chart. This trajectory confirmed the increasing bearish vigor. Now, any close below the lower flatter trendline would cause a further breakdown.
At press time, SUSHI traded at $3.944. The RSI recovered but still failed to cross the midline. It chose the sellers while standing weak at the 37-mark.