LINK/USDT (Chainlink to Tether) from the 4H interval

⚡️ Technical situation – quick overview
✅ Breakout from the descending channel (purple lines)
✅ Resistance zone 14.42 – currently being tested
✅ Target within the breakout range – around 17.73 USDT
⚠️ Stochastic RSI in the overbought zone – local correction possible

🟪 Descending channel – broken!
The descending channel that has been in place since mid-May has been broken upwards.

Such breakouts often signal a change in the local trend.

Theoretical range of movement = channel height (~3.30 USDT) added to the breakout point (around 14.42) = ~17.73 USDT – perfectly aligned with your resistance level.

🟢 Key Resistance Levels (green):
Level Meaning
14.42 USDT Current tested resistance – psychologically significant
15.65 USDT Local high + June price gap
17.73 USDT Potential target after a breakout – range from the formation

🔴 Support Levels (red):
Level Meaning
12.73 USDT Support from the pre-breakout consolidation
11.91 USDT Key defensive level of the uptrend
11.07 / 10.12 USDT Historical support with strong demand reactions

📉 Stochastic RSI (oscillator):
Currently deep in the overbought zone (above 80).

This may indicate local exhaustion of momentum and a short correction before further upward movement.

However: in strong trends, the RSI may remain high for an extended period – it does not automatically provide a sell signal.

📈 Bullish scenario:

Retest of the 14.42 level as support → confirmation of the breakout

Then a move towards:

15.65 – local stop

17.73 – final target from the channel breakout

🟩 Stop-loss: e.g., below 12.73 USDT (loss of key support)

📉 Bearish scenario:

False breakout and decline below 14.42

Loss of the 12.73 level → possible quick decline to 11.91–11.07

🔴 In this case, a new swing low could open the way to 10.12 USDT.

📌 Summary:
Element Rating
Technical Pattern ✅ Breakout from a descending channel (bullish signal)
Current Level ❗ Test of Key Resistance – Decision Point
RSI (Momentum) ⚠️ Overbought – Correction Possible
Upside Potential (Target) 📈 17.73 USDT
Threat ❌ False breakout and return to below 12.73 USDT

🧠 My suggestion (not investment advice):
Observe the price reaction at 14.42 – if it holds above and consolidation forms → a signal to continue.

If the 4H/1D candle closes below, consider caution, as this could be a bull trap.