Chainlink Price Analysis of March 4, 2025: LINK Crashed to $14.5: DBears Back in the Market?

If you wonder what makes Chainlink crash, then this analysis is going to help you. As we go through the analysis, we explore the potential support and resistance and the possible future scenario of Chainlink trading activity. In the past 24 hours, Chainlink dropped significantly, showing the volatile behavior of the crypto market. After marking a high of $17.55, the price dropped within a narrow channel, showing strong selling pressure. Despite temporary rebounds, the overall trend remained bearish, with the price eventually breaking key support levels. Without wasting any further time, let’s dive into the Chainlink price analysis.

Chainlink Price Analysis of the Last 24 Hours

After marking the high of $17.55, the price dropped in a narrow channel. At 02:25 UTC, RSI dropped below the level of 30, indicating an oversold condition in the market, and at 02:45 UTC, a golden cross appeared in MACD, both suggesting a pullback or reversal. A pullback appeared in the form of a range that broke out to the downside at 06:30, forming a support level at $16. At 06:50 UTC, RSI dropped again below the level of 30, indicating an oversold market condition.

Chart 1: Analysed by vallijat007, published on TradingView, March 4, 2025

A golden cross at 09:30 UTC helped in the formation of an expanding triangle pattern, which broke out to the downside at 14:50 UTC but failed to break the support level of $16. At 18:15 UTC, the price broke the support level of $16 and formed a spike and expanding triangle. At 18:30 UTC, RSI again dropped below the level of 30, indicating an oversold market condition. At 20:50 UTC, MACD showed a golden cross that pushed the price upward.

Key Levels on 4th March

The price moved in a downward-moving channel from the early hours of 4th March. At 01:30 UTC, the price broke to the downside of the channel. RSI also dropped below the level of 30 at 01:35 UTC, marking the oversold condition of the market, suggesting a reversal or at least a pullback. The market formed a converging triangle after MACD showed a golden cross at 02:40 UTC. The converging triangle broke to the downside at 06:35 UTC, further corroborated by a MACD death cross. The price formed a range there.

The low of the day on 4th March is $13.40. If the price of the range breaks to the downside, then it may soon break the low of the day, marking another low and continuing the downtrend. If the breakout of the range is to the upside, a short bullish momentum could be seen.

Final Thoughts on the Chainlink Crash

The recent Chainlink crash highlights strong selling pressure, with Chainlink dropping nearly 25% from the recent high. Despite occasional rebounds, the overall market sentiment remains bearish. If the price fails to recover and continues to break lower lows, the downtrend could extend further. However, a breakout above the resistance level could signal a short-term bullishness in the market. Traders and investors should remain cautious and implement proper risk management before making any decisions in this volatile market.