- Chainlink’s Elliott Wave structure signals a correction toward $13.30–$12.14.
- Wave C aligns with key Fibonacci levels, suggesting more downside in the short term.
- Despite price pressure, DeFi TVS remains above $20B, showcasing strong fundamentals.
Chainlink (LINK) continues to navigate a treacherous correction phase, with technical indicators suggesting further downside ahead. As of November, the oracle network’s native token is trading around $14.50 on Coinbase, down over 5% in the past 24 hours amid broader market jitters.
Renowned crypto analyst @Morecryptoonl has updated his Elliott Wave breakdown, reinforcing a bearish outlook that could see LINK testing critical support levels near $13.30–$12.14.Elliott Wave Theory, a staple in technical analysis, posits that market prices unfold in repetitive wave patterns driven by investor psychology.
Macro Pressures & On-Chain Signals: What’s Fueling LINK’s Decline?
In @Morecryptoonl’s latest chart, LINK appears to be completing wave (z) within a larger corrective ABC structure that began after its September highs above $16. The annotated TradingView snapshot highlights key Fibonacci retracement levels: wave A peaked at 78.6% (around $16.75), followed by a wave B rebound to 61.8% ($15.62), and now wave C extending toward the 78.6% extension at $13.47. Deeper targets align with prior lows, including the 100% projection at $12.14, where historical support from July 2025 could provide a floor.This correction isn’t isolated.
Bullish Scenarios & Invalidations: What Could Reverse the Trend?
Chainlink’s price action mirrors altcoin weakness, exacerbated by macroeconomic headwinds like rising U.S. Treasury yields and delayed expectations for Federal Reserve rate cuts. On-chain metrics add nuance: LINK’s total value secured (TVS) in DeFi protocols remains robust at over $20 billion, underscoring the token’s utility in cross-chain data feeds. However, staking participation has dipped to 45% of circulating supply, signaling waning holder confidence amid the dip.Bullish catalysts linger. Chainlink’s recent integrations with major blockchains like Solana and its CCIP (Cross-Chain Interoperability Protocol) upgrades position it as a linchpin for Web3 adoption.
If Bitcoin stabilizes above $90,000, LINK could rebound swiftly, potentially invalidating the bearish count with a break above $15.62. For now, though, traders are advised to monitor volume spikes and RSI divergence for reversal signs.As crypto markets grapple with uncertainty, this Elliott Wave setup serves as a roadmap for risk management. Patience may reward long-term holders, but short-term speculators should brace for volatility. Chainlink’s resilience in bear markets has historically led to outsized gains—will history repeat?
Disclaimer: This article is for informational purposes only and does not constitute financial advice. CoinCryptoNewz is not responsible for any losses incurred. Readers should do their own research before making financial decisions.
