Chainlink Holds Near $9 as Traders Eye Break Above Key Levels

Key Insights:

• Chainlink holds near $9.13 as positive funding rates show bullish sentiment, yet declining open interest signals reduced trader participation and weaker conviction.

• Price remains below major moving averages, with resistance between $9.16 and $9.26 limiting upside despite improving momentum indicators like RSI and MACD.

• A break above resistance could push LINK toward $10.19, while weak support levels near current price increase the risk of deeper pullbacks.

Chainlink trades near $9.13 on Friday, showing steady movement as broader crypto sentiment improves amid easing geopolitical tensions. Besides this supportive backdrop, traders continue to build bullish positions, signaling growing confidence in a possible upward move. The token reflects a cautious yet stable trend as buyers attempt to maintain control.

The futures market shows a positive tone, with the OI-weighted funding rate holding at 0.0042%, slightly below the previous session. However, this level still confirms that long positions dominate, indicating that traders expect further gains. Consequently, sustained positive funding could help ease selling pressure and support a push toward higher resistance levels.

Declining Open Interest Raises Concerns

Despite growing bullish bets, futures open interest has declined to around $371 million from $376 million a day earlier. This drop highlights weakening participation, as fewer traders open new positions in the market. Moreover, reduced open interest suggests hesitation among investors, which may limit the strength of any immediate rally.

Chainlink continues to trade below major moving averages, keeping the broader trend under pressure. The price remains just under the 50-day EMA near $9.16, while the 100-day and 200-day EMAs stand higher at $10.19 and $12.08. Hence, these levels form strong barriers that restrict a clear recovery despite recent attempts to move higher.

Momentum Indicators Show Mild Strength

Technical indicators present a slightly improved outlook as momentum begins to build. The RSI holds near 54, indicating balanced conditions without strong overbought pressure. Additionally, the MACD has turned positive, reflecting early signs of upward momentum, although the strength remains limited.

Source: TradingView

Immediate resistance sits between $9.16 and $9.26, where sellers continue to defend key levels. However, a sustained move above this range could open the path toward the next target near $10.19. Consequently, buyers need strong volume support to overcome this supply zone and confirm a breakout attempt.

Limited Support Leaves Downside Risk

On the downside, the lack of strong nearby support exposes the token to potential pullbacks if resistance holds. Traders may look toward earlier price levels around $8.68 as a possible demand zone. Moreover, failure to maintain current levels could increase pressure and delay recovery efforts.