June 19, 2024
Chainlink (LINK) up 9% in a day as markets rally, what’s next?

Oracle service provider Chainlink native token LINK rose today as the crypto market recorded significant growth. The cryptocurrency is trading up 9.02% at $6.80 with a trading volume of $198 million, representing an increase of over 179% in the last 24 hours.

One of the factors influencing LINK price growth in the coming days is the massive movement of tokens from the network’s wallets to exchanges. On September 16, four wallets associated with Chainlink transferred 18.75 million LINK tokens to various platforms, amounting to $119 million.

These wallets were originally meant to hold tokens that were not yet in circulation. But recently, approximately 15.7 million LINK tokens (about $100 million) skipped these wallets and went straight to Binance. Additionally, 3.05 million LINK tokens (approximately $19 million) left the wallet in a multi-signature wallet identified as 0xD50f.

Following these significant on-chain activities and potential impacts, investors are eager to see how the LINK price will react.

LINK moves above $6.3 resistance

LINK is in an uptrend, forming a bullish engulfing pattern to break the $6.3 resistance level. Although LINK is still below its 200-day simple moving average (SMA), today’s green candle has broken above the 50-day SMA, indicating increased pressure from buyers.

Buyers at the $6.1 support level have forced the crypto coin to rally after a brief retracement between September 16-17. Furthermore, the Relative Strength Index (RSI) displays a value of 58.00, rising from the neutral zone and approaching the overbought zone of 70.

LINK has surpassed the $6.3 resistance today. Therefore, buyers are likely to remain bullish in the coming days. Furthermore, the moving average convergence/divergence displays a strong buy signal confirmed by its green histogram bars.

The price of the cryptocurrency is likely to record further gains in the coming days if buyers continue to accumulate the token. However, unlocking and transfer 21 million LINK tokens There could be a brief retracement in the longer term if buyers soften on September 16.

The price of LINK in the daily chart is currently $6.80. , Source: LINKUSD price chart from tradingview.com

Whales increase holdings after SWIFT test

Since August 31, when Chainlink partnered with SWIFT and other companies, LINK has displayed positive market movements. interbank communication system Intense And Chainlink successfully transferred token value across different private and public blockchains in an experiment.

The positive development increased investor confidence in purchasing more LINK tokens, potentially increasing the value of the token. On 7th September, Emotion It was observed that the top tier holders of Chainlink, those who hold 10,000-100,000 LINK tokens, were actively increasing their stakes.

The number of wallets holding 10,000 to 100,000 LINK tokens increased to 3,127, the highest since December 3, 2022. These wallets collected $9.6 million worth of LINK in just three days, which is 0.154% of the total supply. Additionally, Santiment’s report revealed that 98 new wallets were created in this category.

On September 9, Ali, a crypto expert, Turns out they’re whales Bought over 4 million LINK coins amounting to $24 million in just 10 days.

These accumulations reflect the growing interest of investors in Chainlink and will likely increase demand, leading to a rise in the price of the token in the coming days.

Featured image from Pixabay and chart from tradingview.com

source: www.newsbtc.com

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