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Chainlink Price Forecast: LINK rebounds as LG CNS partnership boosts ecosystem outlook

Source Fxstreet
  • Chainlink rebounds modestly on Friday after testing and finding support near $11.93 the previous day.
  • LG CNS enters a strategic partnership with Chainlink on Thursday to advance Korea’s $68 billion digital asset market.
  • Improving derivatives metrics suggest a recovery in market sentiment.

Chainlink (LINK) rebounds slightly, trading above $18 on Friday after testing the key support zone the previous day. The recovery follows a strategic partnership between LG CNS and Chainlink to advance South Korea’s $68 billion digital asset market, boosting ecosystem outlook. Meanwhile, improving derivatives metrics suggest a gradual recovery in market sentiment, supporting the potential for further rebound.

LG Group partners with Chainlink to advance Korea’s digital asset market

LG CNS, the technology arm of LG Group, enters a strategic partnership with Chainlink on Thursday to advance Korea’s $68 billion digital asset market.

Under the official partnership, LG CNS and Chainlink are expanding the utility and distribution of Korean stablecoins, a digital asset market with more than 11 million eligible users.

“The partnership also brings the full Chainlink platform into LG CNS’s ongoing work to build digital asset platform solutions for Korean institutions and establishes a joint collaboration to advance the technical standards underpinning Korea’s digital asset economy,” reported the press release.

By combining LG CNS’s institutional expertise with Chainlink technology standards, the partnership establishes the foundation for compliant digital asset infrastructure in Korea and for global expansion.

The partnership signals a bullish long-term outlook for Chainlink as it strengthens its institutional presence in South Korea’s growing digital asset market. 

Derivatives metrics support a recovery

Derivatives data shows improving sentiment for Chainlink. CoinGlass’ long-to-short ratio for LINK read 1.16 on Friday, the highest level over a month. A ratio above one indicates bullish sentiment, as traders bet that asset prices will rise.

LINK long-to-short ratio chart. Source: CoinGlass

In addition, Chainlink funding rates flipped positive on Friday, reading 0.0057%, indicating longs are paying shorts and suggesting a mild bullish outlook.

LINK funding rates chart. Source: CoinGlass

Some signs of concern

CryptoQuant’s summary data shows a bearish outlook for Chainlink. LINK’s spot and futures markets show large whale orders alongside overheating conditions and sell-side dominance. This highlights a bearish, cautious sentiment bias among Chainlink traders.

Chainlink summary chart. Source: Coinglass

Chainlink technical outlook: LINK finds support around key zone

Chainlink price trades at $12.19 on Friday, consolidating in a neutral-to-slightly bearish stance as it holds above the 100-day and 200-day Exponential Moving Averages (EMAs) at $11.53 and $10.98 but remains capped by the 50-day EMA at $12.39.

The Relative Strength Index (RSI) near 44 leans mildly bearish. At the same time, the Moving Average Convergence Divergence (MACD) stays below zero, suggesting fading bullish momentum as LINK oscillates around the short-term trend barrier.

On the topside, immediate resistance is located at the 50-day EMA at $12.39, followed by the horizontal barrier at $15.45.

On the downside, initial demand is seen at the nearby horizontal support around $11.93 and the 100-day EMA at $11.53, ahead of deeper structural support at the 200-day EMA near $10.98 and the lower horizontal floor at $9.92.

LINK/USDT daily chart

(The technical analysis of this story was written with the help of an AI tool. Know more.)

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