Chainlink’s native cryptocurrency, LINK has been one of the top performers in the crypto markets this year, surging over 15% in the last seven days alone. The decentralized Oracle network’s token is currently trading at $15.97, up 7.19% over the past 24 hours. Link records a market cap of over 9.2 billion and a volume of over $347 million as of writing.

Despite the recent rally, many analysts believe LINK is still in the midst of a prolonged accumulation phase before its next major uptrend cycle. They point to Chainlink’s market-leading fundamentals and growing adoption as key drivers that could fuel a substantial rally in the coming months.

A popular crypto analyst in a recent tweet said that Chainlink is approaching a new cycle low, presenting another massive opportunity to accumulate LINK and that It’s one of the top ‘blue chip’ cryptocurrencies at the moment.

The analytics noted that LINK holders have been steadily moving their tokens off of centralized exchanges and into self-custody wallets and DeFi protocols. This is seen as a bullish signal, reducing the risk of a sell-off from exchange outflows.

At a blockchain event in Dubai last week, Chainlink co-founder Sergey Nazarov discussed the project’s growth and upcoming milestones with Dr. Marwan Alzarouni, CEO of the Dubai Blockchain Center. Their conversation highlighted Chainlink’s continuing mission to build a robust data fabric for Web3 applications.

LINK Technical Analysis

On the weekly chart, LINK has been in an uptrend over the past two weeks after finding double support at the $12 level from a horizontal support and an ascending trendline. While down over 23% at its lowest point this month, LINK has now recovered to a 12.86% deficit over the last 30 days.

LINKUSD Weekly Price Chart (TradingView)

The daily chart shows five consecutive days of bullish price action following that $12 double support. Today, LINK opened at $15.11 and has set a new high after bouncing off a low of $15.00 low. The bulls aim to fill the fair value gap and retest the earlier broken-down ascending trendline near the $17 neckline of a previous head-and-shoulders pattern broken down 12th April. However, if bearish sentiment kicks in, sellers could drive LINK down to retest support at $11.90 zone if that $17 resistance zone holds.

LINKUSD Price Chart (TradingView)

On the 4-hour timeframe, LINK is currently trading inside the fair value gap on its way to the double resistance at $17. A rejection here could send the price back down to support at $11.90. However, a decisive breakout above $17 could kickstart a rally towards $20 to retest the right shoulder resistance of the prior head-and-shoulders pattern.

Looking ahead, some analysts have drawn parallels between the current LINK market structure and the 23-day period preceding its all-time high in January 2021. They speculate that if a similar 23-day uptrend plays out from LINK’s recent capitulation low, the token could be trading around its previous market cap high between $38-$41 by around May 8th, 2024.

Only time will tell if this lofty projection proves accurate. But given Chainlink’s solid fundamentals and the technical signals, a new LINK uptrend is cooking for the leading oracle solution.