Chainlink pauses near $9.56 as ETF inflows support breakout hopes

Key takeaways

• Chainlink trades around $9.42 after gaining more than 14% last week.
• A long-to-short ratio of 0.76 and negative funding point to weakening derivatives sentiment.
• Spot LINK ETFs attracted $2.07 million on Monday, their largest daily inflow since July 22.
• Losing support at $9.39 could trigger a pullback toward $8.94 and the $8.60–$8.50 region.

Chainlink (LINK) is struggling to overcome resistance near $9.56 on Tuesday, pausing after rallying more than 14% during the previous week.

Weakening derivatives indicators suggest that bullish momentum may be losing strength. However, renewed institutional demand through spot LINK exchange-traded funds could support another attempt to move higher.

Derivatives traders adopt a bearish stance

CoinGlass data shows early signs of weakening sentiment in Chainlink's derivatives market.

LINK's long-to-short ratio stands at 0.90 on Tuesday, close to its lowest level in a month. A reading below one indicates that short positions outnumber long positions, suggesting more traders expect the price to decline.

… Continue reading the full article at the original source below.