Chainlink Poised for Massive Breakout: Analyst Predicts $50 Price Target as Whales Load Up

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Thursdays saw Chainlink (LINK) bouncing back from its previous lows on Monday and reaching the $23 level once more after a week-long absence. This jump sparked optimism among investors, leading some analysts to anticipate potential record-breaking highs ahead.

Chainlink Whales Go On Buying Spree

In the last 24 hours, Chainlink experienced a 9% increase, reaching the $23 level for the first time in a decade. The digital currency LINK joined the broader market’s upward trend after the election, soaring by approximately 200% over the past month.

At this event, the cryptocurrency soared past its previous peak of $22 in March 2024, reaching a fresh high of $30 instead. Yet, the reversals in December put a damper on Chainlink’s progression, causing it to fluctuate between approximately $20 and $25 for the remainder of the month.

In the early stages of this year, LINK made an effort to challenge the $25 resistance area, but it pulled back when the market experienced corrections, causing the price to drop to $18 – the lowest it’s been in more than a month.

In the midst of the ongoing market bounce-back, the cryptocurrency has jumped by 27% since its low on Monday, piquing the interest of financial analysts and big-time investors. The crypto expert, Altcoin Sherpa, predicts that LINK might experience a “reversal in the shape of a ‘V'” after recovering from the recent market crash, which they referred to as a “nuclear event.

On Thursday, crypto analyst Ali Martinez pointed out that significant investors, often referred to as whales, have been buying large amounts of LINK in recent days. Based on the post, these large-scale buyers have acquired approximately 1.35 million LINK, valued at around $31 million, since January 14.

It’s important to mention that large Chainlink token holders (often referred to as whales) have been buying substantial amounts of LINK recently. In late December, these whales bought approximately 3.58 million LINK tokens, which equated to around $77 million. Additionally, data from on-chain analysis indicates that these same wallets acquired an additional 1.4 million tokens during the first four days of 2025.

LINK Holds Crucial Level

Martinez proposed that the buying force might potentially boost the pace of LINK’s upward trend. Since reaching its peak in December, Chainlink (LINK) has been shaping like a bull pennant, but it couldn’t surpass the upper trendline earlier this month.

Today’s surge in LINK’s value surpassed the upper boundary of its trendline, as per an analyst’s observation, suggesting a potential $50 price point ahead. In the words of crypto analyst Jelle, Chainlink has encountered a significant resistance level that could potentially become a support level.

Previously, the analyst expressed that Chainlink’s weekly chart was gradually transforming into a “true work of art” following the “difficult repeat test,” and maintaining the crucial level “strongly.

As a crypto investor, I noticed that Jelle highlighted the significance of the $18-$20 resistance zone transforming into support for LINK following the recent market correction and recovery. This particular level has proven to be crucial for Chainlink’s token, as it played a pivotal role in its journey towards its all-time high (ATH) and new local peaks when it was flipped from resistance to support.

Eventually, Jelle established an opening goal for LINK at $30 prior to the surge towards fresh all-time highs. At present, Chainlink is being traded at $23.56, marking a 6% rise within the daily period.

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2025-01-17 11:10