Oracle service provider Chainlink Its native token, LINK, rose today as the crypto market recorded a significant rise. The cryptocurrency is trading at $6.80, up 9.02%. Moreover, with a trading volume of $198 million, it represents an increase of over 179% in the last 24 hours.
One of the factors likely to influence LINK’s price increase in the coming days is the massive migration of tokens from the network’s wallet to exchanges. On September 16, four wallets associated with Chainlink transferred 18.75 million LINK tokens, amounting to $119 million, between various platforms. did.
These wallets were originally designed to hold tokens that were not yet in circulation. But recently, approximately 15.7 million LINK tokens (approximately $100 million) left these wallets and went directly to Binance. Additionally, 3.05 million LINK tokens (approximately $19 million) left wallets in a multi-signature wallet identified as 0xD50f.
Following these significant activities and potential impacts on the on-chain, investors are eager to see how the LINK price will react.
Chainlink $6.3 Breaks Above Resistance Level
LINK is in an uptrend and is forming a bullish engulfing formation to break above the $6.3 resistance level. Although LINK is still below its 200-day Simple Moving Average (SMA), today’s green candle broke above the 50-day SMA, indicating increasing pressure from buyers.
Buyers at the $6.1 support level followed the brief pullback from September 16-17. crypto- It forced the money to rise. Additionally, the Relative Strength Index (RSI) is showing a value of 58.00, rising from the neutral zone and approaching the overbought zone of 70.
LINK broke the $6.3 resistance level today. Therefore, buyers are likely to continue the rally in the coming days. Additionally, the Moving Average Convergence/Divergence is showing a strong buy signal confirmed by the green Histogram bars.
If buyers continue to accumulate tokens, the cryptocurrency will likely register further price gains in the coming days. However, the unlocking and transfer of 21 million LINK tokens on September 16 could lead to a short pullback in the long term as buyers relax.
Whales Increased Interest After Swift Test
Since August 31, when Chainlink entered into partnership with Swift and other companies, altcoin showed positive market movements. Interbank communication system Swift and Chainlink successfully transferred tokenized value between various private and public blockchains in an experiment.
This positive development increased investors’ confidence in purchasing more LINK tokens, potentially increasing the token value. On September 7, Santiment noticed that Chainlink’s top holders, namely those with 10,000-100,000 LINK tokens, were actively increasing their holdings.
The number of wallets holding 10,000 to 100,000 LINK tokens increased to 3,127, the highest level since December 3, 2022. These wallets collected $9.6 million worth of LINK in just three days, which is 0.154% of the total supply. Additionally, Santiment’s report showed that 98 new wallets were created in this category.
On September 9, Ali, a crypto expert, revealed that these whales purchased more than 4 million LINK coins worth $24 million in just 10 days.
Koinfinans.com As we reported, these accumulations show that investors’ interest in Chainlink has increased. It will likely increase the token price in the coming days by increasing demand.