What to know:
- Chainlink (LINK) is forming a bullish pennant, with a breakout potentially targeting $10.
- Rising open interest and positive funding rates show traders rebuilding bullish positions.
- A decisive breakout above pennant resistance could trigger another upward move.
Chainlink (LINK) is consolidating within a bullish pennant, signaling potential for another breakout as buying pressure strengthens. Rising derivatives activity and positive funding rates further support the recovery outlook, while sustained momentum could help LINK extend its upward move if resistance is decisively cleared.
At the time of writing, LINK is trading at $9.49 with a 24-hour trading volume of $254.08 million and a market capitalization of $7.1 billion. Following the 1.31% gain over the last 24 hours, the LINK price structure and derivatives activity point to a bullish reversal ahead.
Source: CoinMarketCap
Also Read: Chainlink Breakout Alert: Can LINK Push Above $9 and Reverse Its Downtrend?
LINK Price Eyes $10 After Bullish Pennant
According to the crypto analyst Quinten, Chainlink (LINK) is showing a potentially bullish setup after a strong upward move, with price consolidating inside a pennant pattern.
This formation often appears when buyers pause after a rally while selling pressure remains controlled. If LINK successfully breaks above the pennant’s resistance, renewed momentum could signal the start of another significant upward move.
Source: Quinten’s X Post
A confirmed breakout, particularly alongside rising trading volume, could strengthen the bullish case and place the $10 level within reach.
However, LINK must first clear nearby resistance and sustain momentum above the breakout zone. If buyers fail, the token could continue consolidating or experience a short-term pullback before attempting another move higher.
LINK Leverage Rebuilds as Bulls Target Recovery
The data from Santiment Intelligence further highlighted that Chainlink (LINK) derivative trading is witnessing a sudden surge, with LINK-denominated open interest hitting almost 29 million LINK, marking the first time that the open interest has exceeded what it was on October 9 since the liquidation crash on October 10.
But dollar-denominated OI stays steady at $279 million from the pre-crash $555 million, as LINK trades far cheaper than October.
Source: Santiment Intelligence’s X Post
Bullishness continues to favor the buildup of long positions because of higher funding rates. However, the open interest level is still less than the previous record set during the August 2025 period, where open interest rose to 34 million LINK tokens. The bull case became more robust after the target of Standard Chartered for $200 by 2030.
What Happens Next for Chainlink?
Chainlink (LINK) has the potential to reach $10 if buyers are able to break above the resistance of the pennant pattern on a high volume of trading.
An increasing funding rate and an increase in open interest might help the setup. Failure to breach resistance may keep LINK coin ranging or cause a pullback.
Also Read: Crypto ETF Selling Hits Bitcoin as Chainlink Records $1.47M Inflows
This article contains market analysis and price predictions. These are not guarantees. Crypto markets are volatile. Always DYOR. Not financial advice.
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