- Santiment reports over 15 million LINKs, worth about $165 million, were accumulated by whales in two months.
- IntoTheBlock data shows high cold wallet transfers of LINK, suggesting a strong holding trend among investors.
In recent developments, Chainlink (LINK) has demonstrated a robust increase in market price, climbing from a local low of $10 to a peak of $15.36 over the past month. This growth has prompted analysts to explore the influence of such a trend.
Influence of Whale Activity on Market Trends
Data sourced from Santiment indicates a pronounced activity by large Chainlink holders, commonly known as whales, who have accumulated over 15 million LINK tokens valued at roughly $165 million in the last two months.
#Chainlink whales have accumulated over 15 million $LINK over the past two months, valued at around $165 million! pic.twitter.com/6QJBGY7xA5
— Ali (@ali_charts) November 13, 2024
This pattern of large-scale acquisitions typically reflects a positive market outlook, suggesting that these major investors foresee potential for further appreciation in LINK’s value.
Furthermore, a notable shift has been observed in the net flow of large holders, which has become positive after a significant decline, indicating a prevailing trend of accumulation over selling.
This is paralleled by data from IntoTheBlock, which reports that the volume of LINKs moved to cold storage has reached a three-month high, with 1.8 million LINKs, equivalent to $25.92 million, being transferred.
Such transfers are usually indicative of a strategy to hold onto assets in anticipation of future price increases.
Current Market Conditions and Future Projections
Analyzing the movement on various chart timelines, LINK has seen an overall increase of 21.28% in the past month, with the current trading price at $13.39. The asset has shown consistent growth on weekly charts, increasing by 12.35%.
However, the daily charts have registered a decline of 10.82%, pointing to some immediate market corrections after the recent highs.
While the overarching sentiment in the market remains positive, LINK faces a potential challenge at the $15 resistance level, which has previously acted as a barrier to further gains.
The outcome will hinge on whether the bullish sentiment can sustain itself against the pressures observed in daily trading. Conversely, should the bearish trend on the daily charts take precedence, LINK might retreat towards the $10 support level, testing its resilience in a more bearish scenario.
The current price of Chainlink (LINK) is $14.198 USD, showing an increase of 1.65% today.
Key Observations:
- Price Trend: Chainlink has shown strong performance recently, with a weekly gain of 30.75% and a monthly rise of 31.79%. Despite this, LINK is still down 8.69% over the past six months, reflecting some longer-term weakness.
- Market Capitalization: Chainlink’s market cap stands at $8.88 billion USD, with a 24-hour trading volume of $822.87 million USD. The volume-to-market cap ratio of 0.1230 suggests healthy trading activity and liquidity.
Technical Analysis
Chainlink is currently testing a key resistance level around $14.50 USD. A breakout above this level could signal a move towards the next target at $20 USD. However, if it fails to break through, we may see a pullback towards support at $12.50 USD.
