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Chainlink’s chart shows the first RSI bullish divergence ever

News
<strong>Chainlink’s chart shows the first RSI bullish divergence ever</strong>

Chainlink — the biggest on-chain data (oracle) protocol — is seeing its LINK token shine a bright green light according to this technical indicator.

Chainlink chart analysis shows that the weekly RSI is trending upwards in a bullish divergence while the price continues trading lower — a sign never seen before on the weekly chart for this token. The current weekly RSI of 43.33 suggests that the coin is picking up upwards momentum.

<strong>Chainlink's chart shows the first RSI bullish divergence ever</strong> - 1

According to Investopedia, “a bullish divergence occurs when the RSI displays an oversold reading followed by a higher low that appears with lower lows in the price.” The trading education website is quite clear as to the meaning of such an indication:

“This may indicate rising bullish momentum, and a break above oversold territory could be used to trigger a new long position.”

As of press time, Chainlink is trading at $6.84 after seeing a price increase of nearly 7% over the last 24 hours. The bullish momentum may propel LINK’s ascension towards the resistance located in the $9 area.