Technical analysis by MonoCoinSignal about Symbol LINK: Sell recommendation (12/27/2025)

We're sitting at the apex of a textbook converging wedge with just $0.07 of room left. 20 touches on ascending support ($12.19), 13 touches on descending resistance ($12.26), and price currently at $12.30. The coiled spring scenario is here—something gives within the next few bars. 1. THE TECHNICAL REALITY 📉 • Wedge compression: Width contracted from $14.62 to $0.07 over 467 bars—apex reached • Macro structure: Price below EMA50 ($12.42) and EMA200 ($13.22)—bearish trend intact • Current position: Testing middle Bollinger Band ($12.27), just above EMA20 ($12.29) • ADX at 41.3: Strong trending environment confirmed 2. THE INDICATORS ⚖️ Bearish Signals: • Bearish order block overhead at $12.31-$12.52 acting as supply • Volume 63% below average ($622K vs $1.66M)—weak conviction on bounce • Swing trend bearish despite trading in discount zone • Upper wick 29.3% showing rejection at resistance Bullish Signals: • MACD bullish crossover (MACD -0.0311 above Signal -0.0451) • Lower wick 59.8% showing strong support attempts • Bullish order block below at $12.21-$12.63 providing demand • RSI neutral at 54.4, MFI at 67.3 (elevated but not extreme) The Conflict: MACD suggests momentum shift, but volume tells the opposite story. Without conviction behind this bounce, the 59.8% lower wick represents indecision rather than strength. Structure trumps oscillators here. 3. THE TRADE SETUP 🎯 🔴 Scenario A: Wedge Breakdown (Higher Probability - 68%) • Trigger: 4H close below $12.21 (bullish OB support break) • Entry: Confirmation below $12.21 with volume • Target: $11.73 (weak low liquidity sweep, 4.70% distance) • Stop: 4H close above $12.52 Logic: Price rejects at $12.52 bearish OB (aligns with descending resistance), breaks 20-touch ascending support at $12.19, sweeps equal lows at $11.73 where unprotected buy-side liquidity sits. Converging wedges typically break in direction of prior trend—which is down. 🟢 Scenario B: Breakout Reversal • Trigger: Decisive break above $12.52 with volume • Entry: 4H close above $12.52 (breaks bearish OB + descending resistance) • Target: $14.19 (premium zone threshold, triggers CHoCH bullish) • Invalidation: Rejection back below $12.52 Logic: Reclaiming $14.19 invalidates entire bearish structure and signals bulls have control. Given positioning below EMA50/200 and bearish swing trend, assigning lower probability to this outcome. MY VERDICT Risk-reward favors the breakdown. The 20-touch ascending support at $12.19 breaking on volume would be a significant technical event that accelerates selling. Wait for confirmation rather than front-running—the wedge apex doesn't care about your bias, it breaks based on order flow.The price reached the Bearish OB, rejected as expected. Waiting to see what is going to happen.