Chainlink Rally Targets $30 Breakout as Whales Holding Doubles

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As a seasoned crypto investor with a decade of experience under my belt, I can confidently say that the current bullish trend for Chainlink (LINK) is nothing short of exhilarating. With my first investment in LINK back when it was trading at a mere $0.35, watching it surge to its current price of $26.02 has been an incredible journey.

Currently, the Chainlink (LINK) token maintains its position above the significant $25 support level, boasting a price of $26.02. Over the last 24 hours, it has experienced an increase of 2.05%, with a market capitalization of approximately $16.16 billion. The 24-hour trading volume stands at around $3.19 billion and the token’s volatility is relatively low at 0.4%.

Boosting a persistent upward momentum, the 24-hour trading volume experienced a significant jump of 177%, peaking at $2.32 billion. With this substantial rise in transactions, Chainlink’s price has seen a 30% growth over the past week and a remarkable 91% increase over the last month.

Rounding Bottom Reversal Targets $32

Despite the recovery run, the bullish exhaustion led to a bearish start this week, with an intraday pullback of 0.30%.  The bull run started on November 5th from the $10 psychological mark and has now resulted in a surge of 159%.

On the weekly chart, the bullish momentum surpassed the 50% and 61.8% Fibonacci resistance levels at $16.19 and $21.42 respectively. The 61.8% Fibonacci level functioned as a support-turned-resistance during a rounding bottom reversal, triggering a fresh breakout surge.

Chainlink’s On-chain Targets ATH

Based on last week’s strong surge, the Global In/Out of the Money indicator suggests that Chainlink is approaching the likelihood of hitting a fresh record high. At present, the “at the money” zone spans from approximately $24.40 to $28.13.

From $28.13 to $49.25, there’s approximately a 6.57 million LINK token pressure due to the volume. This implies that only about 0.66% of the entire LINK token supply is in the hands of buyers who paid more than the current price.

Approximately 968.51 million LINK tokens are currently in circulation, representing about 96.85% of the total supply. This large portion is held by successful investors, suggesting that any upward price movement for LINK may encounter minimal resistance beyond approximately $28.

Consequently, an increase in demand could potentially propel the price towards reaching the significant $50 milestone. The highest price ever recorded for Chainlink was $53.02, which occurred during the 2021 bull market.

Chainlink Whales Add $5.84 Billion in 7 Days

Over the last week, the large Chainlink investors (often referred to as “whales”) have substantially boosted their holdings. In U.S. dollar terms, this increase has taken their total holdings up to a staggering $19.61 billion.

Over the last week, there’s been a substantial jump, from approximately $13.77 billion to a higher figure. Moreover, the whale holdings have grown by a staggering 101.97% over the past month.

Consequently, as whale interest grows, there’s a widespread optimism that Chainlink will see an upward trend in the near future.

Chainlink Adoption Boost and Brazil’s DREX

During this thriving stock market, the increasing desire for oracles is fueling Chainlink’s growth. The team just shared that last week, they integrated their standard into 7 different platforms, spanning 4 services and 7 diverse blockchain networks.

In addition, in Brazil’s Central Bank Digital Currency (CBDC) initiative, Chainlink has joined forces with Banco Inter, Microsoft, and the 7Comm consortium. Acting as a liaison between Traditional Finance (TradFi) and Decentralized Finance (DeFi), Chainlink aims to develop a trade finance solution for the second stage of Brazil’s DREX project.

In simpler terms, the Chainlink’s CCIP protocol facilitates secure, trust-free communication between the Central Bank of Brazil and regional banks. This ensures that all transactions are compatible and processed smoothly.

Will LINK Prices Cross $30?

Over the past week, I observed a significant 37.97% increase that resulted in a bullish engulfing candle, signifying a potential breakout from a rounding bottom pattern. Currently, the LINK prices are hovering between the 61.80% and 78.60% Fibonacci retracement levels.

The increased buying pressure has resulted in a golden crossover between the 50-week and 200-week EMA lines. Further, the MACD and signal lines trace a growing trajectory. Hence, the technical indicators maintain a BUY signal for LINK tokens.

According to Fibonacci analysis, there’s a strong possibility that the current uptrend may reach approximately $31.918, which represents the 78.60%, this week. On the flip side, if there’s a wider market correction, the price might revisit around $21.42, corresponding to the 61.80% level.

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2024-12-09 13:04