Chainlink's CCIP 2.0 launch on September 28 failed to lift LINK, which instead dropped 8.12% from its $14.02 daily open the same day. A chartist flagged a head-and-shoulders breakdown that could send the token toward $12 and below, even as the broader trend stays bullish.
Chainlink released CCIP 2.0 on September 28, with reports saying it laid the groundwork for its fourth-quarter cycle. Yet LINK fell 8.12% from the day's $14.02 open on the same day the upgrade went live.
The drawdown came as part of a wider crypto market sell-off. Chainlink kept its overall bullish trend, but investors showed little enthusiasm for the token's immediate prospects. The CCIP upgrade strengthened the network's cross-chain bridge, yet LINK remains exposed to macro conditions and its own shifting sentiment.
A call for a Chainlink dump
A crypto analyst observed that Chainlink was breaking below the neckline of a head-and-shoulders pattern formed on the 4-hour timeframe. If LINK continues trading below $13.56, the chances of a continued move toward $12.39 and $11.98 remain likely.
Toward the end of September, the odds favored a Chainlink rally beyond $15. However, the altcoin fell below a rising trendline support from mid-September, shifting its short-term bias bearishly.
On the daily timeframe, the swing structure stayed bullish, with the $12 area drawing multiple candlewicks over the past two weeks. LINK could dip briefly below $12 to sweep liquidity before recovering. The A/D indicator continues to show buyers in control. The Awesome Oscillator points to some short-term bearish momentum but holds above zero overall.
Should Chainlink traders wait?
The 4-hour structure turned bearish once the $13.47 swing low was breached a few days ago, and technical indicators show heightened sell pressure and downward momentum in October.
A deeper retracement toward the 78.6% Fibonacci level at $11.72 remains possible. Buyers may wait for a positive price reaction from the $11.72-$12.0 zone before looking to buy.
Source: AMBCrypto
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