Chainlink: Can Bulls Sustain LINK’s Support at $11.90?

As market sentiment shifts following the announcement of tariff removals on European goods by U.S. President Donald Trump, Chainlink [LINK] is positioning itself for a potential upside rally. This positive outlook is bolstered by traders showing strong confidence in long-leveraged positions, combined with favorable price trends and Chainlink's reputation as a leading DeFi project focused on continuous development.

Key Takeaways

Chainlink’s price action shows a strong support level at $11.90, with historical reversals reinforcing this point.
Recent development activity by Chainlink's team helps to boost long-term investor confidence.
A potential upside movement of LINK could be seen if it holds above $11.90, with a target around $14.
Traders are heavily focusing on long-leveraged positions, indicating a bullish sentiment in the market.

Chainlink: Can Bulls Sustain LINK's Support at $11.90?

Recent data from on-chain analytics firm Santiment highlights Chainlink outpacing other DeFi projects in development activity, indicating that its developers are consistently enhancing the protocol's security and reliability. This ongoing commitment to improvement reinforces investors' long-term trust in Chainlink.

As of January 22, LINK was priced at $12.40, reflecting a modest gain of 1.05% in the past 24 hours. Despite the small increase, interest in the asset remains high, with trading volume surging by 26% to reach $522.29 million.

Chainlink Price Action and Key Support Levels

Currently, LINK is trading near a significant support level at $11.90, a price point with a strong track record of reversals dating back to November 2025.

Chainlink (LINK) Price Action

Source: TradingView

Historically, LINK has bounced back from this level multiple times, and it appears set to replicate this trend. If LINK maintains its position above $11.90, a potential upside move of 15% could see it approach the $14 mark in the near future.

However, LINK is currently trading below its 50-day Exponential Moving Average (EMA), suggesting that bearish momentum may persist and that the price could encounter downward pressure soon. Interestingly, in prior instances when LINK was below the 50 EMA, it still managed to experience upward movements. It will be intriguing to see if this trend prevails.

Traders Favor Long-Leveraged Positions

Intraday traders are also adhering to historical patterns, as interest in long-leveraged positions is increasing, as shown by derivatives data from CoinGlass.

LINK’s Exchange Liquidation Map reveals that traders have taken substantial leveraged bets, building $7.81 million in long positions at the lower support level of $11.88, while short-leveraged positions amount to $2.08 million at the upper resistance of $12.72.

This data clearly indicates that intraday traders maintain a bullish outlook on LINK, with a strong belief that it will remain above the $11.88 support level in the near term.

LINK Exchange Liquidation Map

Source: CoinGlass

Conclusion

In conclusion, as sentiment shifts positively in the crypto market, Chainlink is poised for a potential rally, with key support and the trading community's bullish actions highlighting the asset's strength. Observing how LINK behaves around these crucial levels will be essential in the upcoming days.