LINK was among the biggest crypto gainers in the last 24 hours as its price jumped 20 percent.
The Chainlink token rose to $13.40 before correcting lower on intraday profit-taking sentiment. As of the early Monday session, LINK/USD was trading at $12.50, just above the technical support offered by its 50-day simple moving average (the blue wave).
Chainlink starts the week correcting lower. Source: TradingView.com
On a broader outlook, LINK/USDT is trading downwards in a Descending Channel, confirmed by at least two lower highs and lower lows. The downside began after the pair established its record high at $20.71 on August 17, following a 1,080 percent rally.
LINK’s correction this week could be a part of a broader bearish correction. The token, therefore, expects to find a concrete price floor before it resumes its uptrend. The near-term outlook point to the lower trendline of the Descending Channel to offer support. Historical behavior poses $8.96 as a level of pullback.
Meanwhile, bounce-back amounts to a small upside move towards the Descending Channel resistance. A break above it would have traders open