Following the news of BlockFi’s bankruptcy, large amounts Chainlink It was revealed that the (LINK) token was transferred to the Kraken exchange. This information, shared by analyst EmberCN, caused discussions about possible effects on the market.
Chainlink Price Trades at a Critical Level Amid BlockFi Trading
BlockFi in bankruptcy process krakenThe size of the assets transferred to attracts attention. A total of 17 tokens, including 2,402,945 LINK, 90,993 UNI, 16,570 AVAX and 468,506 MATIC, had a value of $48.37 million. According to EmberCN’s report, this transfer took place as part of BlockFi’s journey towards bankruptcy.
BlockFi took action under the liquidation plan to refund customers in September 2023. In this context, following this step, they declared bankruptcy in October. The platform has restarted withdrawal services to wallet customers and started issuing refunds to interest account holders and retail loan customers. This is an important step towards restoring the normal functioning of the company.
As BlockFi sells its assets, market watchers are observing potential price impacts. In this process, some market whales add complexity to the situation by following a different strategy.
According to Spot On Chain, a crypto- whale pulled 194,400 LINK from Binance, indicating that LINK could expect an increase in its price. This move is a key part of a trading cycle that began with the whale purchasing 928,016 LINK at an average price of $17.35 since January 28, 2024, totaling approximately $16.1 million.
From a technical perspective, LINK is testing the lower trend line of a descending channel. This could signal a recovery towards the upper channel boundary around $19.70. However, market sentiment and future price direction will depend on a breakout or breakdown from this formation.
Additionally, market analysts known as LinkSpartan offer insights on corporate strategies and market dynamics. They suggest a cautious stance, pointing to a potential market correction that could be influenced by broader economic factors and liquidity conditions.
LinkSpartan;
We have only been in bullish mode since June 2023. This will perhaps be unpopular, but my view is that the brakes and the wider community are starting to froth. The market needs fuel if we want to go higher. “We can pave the way for how to obtain this fuel by taking liquidity at key levels below current prices,” he said.
