Due to significant whale activity, Chainlink (LINK) has recently drawn heightened attention. A particular whale, notable for their aggressive accumulation strategy, has amassed an eye-watering 4,556,684 LINK tokens.
This surge in whale activity raises questions about the potential implications for LINK’s price. From yesterday, February 11, its price rose by nearly 15%. As the cryptocurrency landscape buzzes with speculation, this post delves into the recent whale movements, the growing number of Chainlink holders, and the strategic withdrawal of LINK from exchanges. With these factors converging, we explore the burning question on every crypto enthusiast’s mind: Is Chainlink’s price on the brink of a major pump?
A major crypto trader, or whale, has significantly increased their interest in Chainlink (LINK), continuously acquiring tokens over the past few days. This whale has obtained 4,556,684 LINK tokens, worth roughly $83.6 million. This acquisition could be a bullish signal, with there being the potential for LINK‘s price to climb further soon.
Additionally, the number of Chainlink holders has risen, with data from Santiment showing about 9,000 new holders since January, totaling 717,000. This increase in holders is coupled with a trend of LINK being withdrawn from exchanges, with only 21.5% of the total supply currently on exchanges. This movement away from exchanges could also be an indicator of a potential price surge.
LINK‘s price has been in a larger uptrend since June, when it retested its support of $5. A higher low of $5.80 came in August and September. After that, the next uptrend started, with LINK reaching a high of $17 on November 10.
The price started moving sideways, hovering between $13.50 and $17, but a new uptrend started on January 27. At the time of writing, (February 12), LINK was worth more than $20, its best price in more than two years.
From its last low of $13.50, this is an increase of more than 50%. Even though the price rise was parabolic, there is still more room to go.
However, the three consecutive uptrends, with two corrections between them, since June last year are most likely a typical five-wave uptrend. This would mean that the pattern is in its ending phase. We could see another high to the next resistance zone at $24, another 20% increase from its current levels.
It has moved above $20, where people thought it would stop climbing, and has now entered seller’s territory. This is why a downturn is expected, as the first bull market correction after the current uptrend ends. However, depending on the stopping point, the target will vary.
Please note that the contents of this article are not financial or investing advice. The information provided in this article is the author’s opinion only and should not be considered as offering trading or investing recommendations. We do not make any warranties about the completeness, reliability and accuracy of this information. The cryptocurrency market suffers from high volatility and occasional arbitrary movements. Any investor, trader, or regular crypto users should research multiple viewpoints and be familiar with all local regulations before committing to an investment.