- $17.5 million worth of LINK was purchased from 12 addresses.
- Prices have fallen, but a recovery may be imminent.
Even though Chainlink (LINK) has been affected by the market decline, the cryptocurrency appears to be establishing itself as one of the projects with great long-term potential. This has become clear based on new revelations from Lookonchain.
According to Lookonchain, there are 12 new wallets that likely belong to institutions that have accumulated LINK. According to the details of the post, the total accumulated LINK amount reached $17.5 million.
But that’s not the only thing that happened in the deal.
Fall is not the end
The buyer also sent tokens from Binance. The transaction signals confidence in the long-term performance of the cryptocurrency.
We found an accumulation of whales/organs. $LINK.
1,287,492 was withdrawn from 12 new wallets (which may belong to the same person). $LINK($17.5 million) #Binance For the past 3 days.
address:
0xfca9eD717E3878DdE14D3B10F49a751368A66384
0x7cc6388B25146B4D05270098Bfc8A587Ad5Db24B… pic.twitter.com/hCFVE0Ofer— Lookonchain (@lookonchain) January 7, 2024
Despite the bullish sentiment towards Chainlink, its value has fallen over the past 24 hours. At press time, LINK had changed hands at $13.52. This price decreased by 1.24% during that period.
However, the slight decline was a sign of strength for LINK, according to data from CoinMarketCap obtained from AMBCrypto.
This conclusion is due to the fact that most altcoins close to Chainlink’s market cap have plummeted much more severely. So it’s no surprise that analyst Ali Martinez published a bullish paper on LINK.
Martinez considered the LINK/USD 12-hour chart. His research suggests that LINK could rebound to $15.20 or $17.30. The analyst concludes that Tom DeMark (TD) Sequential presents a buying opportunity.
#Chainlink | TD Sequential displays a buy signal on the 12-hour chart. #link It trades around the lower boundary of the parallel channel. If verified, $LINK It could rebound to $15.2 or $17.3! pic.twitter.com/FSDJOHGIKv
— Ali (@ali_charts) January 7, 2024
TD Sequential is a technical tool designed to identify potential price reversals. In most cases, a reversal occurs due to trend exhaustion.
In Chainlink’s situation, merchants have become fatigued. This therefore presented an opportunity for buyers to capitalize on a potential upward trend.
LINK holders could soon make some profits
AMBCrypto also deemed it necessary to evaluate the growth of the Chainlink network. To do this, we looked at the number of LINK holders after December 1, 2023.
According to Santiment’s on-chain data, the number of LINK holders at the time was 699,710. But data at press time showed that number had risen to 711,000.
This increase was evidence of the initial speculation that sentiment towards cryptocurrencies was bullish.
Source: Santiment
Regarding price, the Aroon indicator showed that it may take time for LINK to rise to $17. As of this writing, Aroon Up (orange) is at 0%. On the other hand, Arundown (blue) recorded 85.71%.
Read Chainlink’s (link) 2024-2025 price prediction
Therefore, LINK’s momentum was showing bearish signs at press time. However, the RSI reading has started rising to 44.91 as of press time. If the indicator continues to rise, LINK could reach $14.
Source: TradingView
Additionally, if RSI flips the 50.00 midpoint, the price of LINK could reach $15. This could also herald higher valuations for cryptocurrencies.