Crypto analyst Ali Martinez, also known as Ali Charts, has flagged a TD Sequential buy signal on Chainlink's (LINK) daily chart, drawing attention to a potential recovery after several sessions of decline.
TD Sequential Completes '9' Count on Daily Chart
According to the chart shared by Martinez, the TD Sequential indicator has completed a full '9' count on LINK's daily timeframe. The price had previously dropped from above $10.50 before finding support near $9.40. The buy signal suggests that the bearish momentum may be exhausting, setting the stage for a reversal.
At the time of the analysis, LINK was trading around $9.62. A rebound toward $10 would represent a significant move from recent lows and test a visible resistance zone on the chart.
LINK Holds $9.40 Support as Bulls Defend Key Level
Over recent sessions, sellers attempted multiple times to push LINK lower, but the $9.40–$9.60 range has been consistently defended by buyers. Martinez highlighted that the repeated defense of this support zone strengthens the case for a bounce. Should LINK manage to break above the current range with volume, momentum could shift further in favor of bulls.
However, the signal still requires confirmation. A breakdown below $9.40 could invalidate the bullish setup and open the door to further downside.
Traders Watch for Momentum Shift
Market participants are closely monitoring whether the TD Sequential signal will translate into actual buying pressure. Martinez noted: "This setup places Chainlink back into focus as traders search for signs of renewed bullish momentum." Short-term traders are positioning for a potential move, but the outcome hinges on whether LINK can hold support and build upward momentum in the coming sessions.
Overall, the combination of support defense and a TD Sequential buy signal has put Chainlink on the radar, but a clear break above $10 is needed to confirm a stronger recovery.