SHARK LINK Accumulates at Low Price Levels - But the Chart Warns of Significant Risks

The so-called “sharks” have recently shown significant activity around LINK. With the current price only at $8.32, the accumulation moves by major players are drawing attention. But before celebrating, you need to know: is this an optimistic signal or just a market trap?

Shark Activity: Accumulation Strategy or Market Testing?

Market data shows that sharks are hovering around prices below $14, with the strongest activity near $12 in the previous period. The question is: are they accumulating because they believe in long-term prospects, or are they simply taking advantage of the market bleeding to buy in?

According to investor community comments, sharks rarely act without purpose. Their buying at these levels could indicate they expect a recovery, or at least want to test where the support levels are. However, not all buying activity means an easy upward path is coming.

Technical Warning Signals: Support Levels Broken

Looking at the 4-hour (H4) chart, LINK has lost two valuable support levels. First is the 50% Fibonacci at $13, then the 61.8% Fibonacci at $12.50. Consecutive breaches of these levels indicate that buying momentum is seriously weakening.

The RSI indicator is currently at 36, close to oversold territory but without a strong recovery signal. This is the most concerning part — selling pressure still dominates. On the daily (D1) chart, a clear Head and Shoulders pattern has formed, indicating a strong downtrend.

Dangerous Downtrend Pattern: From Head and Shoulders to Turning Points

The critical zone — the neckline — is at $10.06. If the price breaks below this level, what will happen?

According to technical analysis, once the neckline is decisively broken, LINK could continue plunging toward $4.91. Currently, at $8.32, we are closer than ever to the $10.06 mark. This means the risk is more imminent than the opportunity.

For recovery hopes, the only decisive factor is whether LINK can firmly regain the $14 level. Unless that happens, selling pressure remains in control of the market.

Actions When Sharks Appear: Which Option Is Right for You?

With shark accumulation activity and deteriorating technical signals, investors face a tough choice. Should they follow these sharks into the low prices, or wait until the trend becomes clearer before acting?

The answer depends on your risk tolerance. With many warning signals on the chart, waiting for a strong technical confirmation might be a safer choice than rushing to “buy the dip” alongside the sharks.

This article is for reference only and does not constitute professional investment advice. Please consider carefully and do further research before making any trading decisions.