TLDR
Chainlink (LINK) shows potential for reaching $36 based on recent whale accumulation between $17-$21
Current price rally appears sustainable as it’s driven by spot market purchases rather than leveraged trading
Whales’ buying behavior has historically preceded major price increases for LINK
Token successfully broke through multiple resistance levels, with $27 as next target according to CoinCodex
Currently trading at $22.37, with recent 9.1% daily and 11.4% weekly declines
Large cryptocurrency investors, commonly known as “whales,” have been steadily accumulating Chainlink (LINK) tokens in the price range of $17 to $21, suggesting a potential price increase to $36, according to recent market data and analyst observations.
These institutional-scale investors have shown increased interest in LINK tokens over recent weeks, with on-chain data revealing substantial purchase activities. Historical patterns indicate that such concentrated whale accumulation often precedes major price movements in the asset.
The current buying trend differs from previous price rallies in one key aspect: it’s primarily driven by spot market purchases rather than leveraged trading. This characteristic typically suggests a more stable and sustainable price movement, as it reduces the risk of sudden drops caused by forced liquidations.
Market data shows that smaller retail investors have also started following the whale activity, creating additional buying pressure in the market. The combination of institutional and retail demand has pushed LINK’s trading volume higher across major exchanges.
$Link #Link So Far So Good, Resistance Breakout, & Retest Has Already Confirmed, & Consolidating In This Region For A While, Now Expecting That Link Will Target 35-36$ In Next Couple Days, & Once This Resistance (35-36$ Got Cleared) We May See New Ath Within Couple Of Days… https://t.co/ImtBG8LINT pic.twitter.com/MWjibmqSGW
— World Of Charts (@WorldOfCharts1) January 31, 2025
Technical analysis reveals that LINK has successfully broken through several resistance levels, establishing new support zones along the way. After consolidating in the $21-$22 range, the token has shown momentum toward the $24 mark.
Current trading data places LINK at $22.37, with recent performance showing a 9.1% decline in daily trading and an 11.4% drop over the weekly timeframe. These movements occur within the context of broader market fluctuations.
Chainlink Price on CoinGecko
The lack of substantial short positions against LINK represents another notable market condition. This absence of leveraged bearish bets reduces the likelihood of volatile price swings caused by short squeezes, where traders rushing to cover their positions can create artificial price spikes.
CoinCodex analysis suggests $27 as the next potential target for LINK, contingent upon maintaining current support levels and market momentum. This projection aligns with the overall technical indicators showing bullish momentum.
The token’s price movement remains sensitive to broader cryptocurrency market conditions, particularly Bitcoin’s performance. Any substantial Bitcoin price movements could influence LINK’s short-term price action.
Whale wallet analysis shows consistent accumulation patterns, with large holders adding to their positions during price dips. This behavior suggests confidence in the asset’s value proposition among institutional investors.
Market order books indicate strong support levels have formed around current price points, potentially providing a foundation for future price movement. These support zones correspond with areas of heavy whale accumulation.
Trading volume analysis reveals increasing spot market activity, with daily volumes showing steady growth across major exchanges. This uptick in trading activity aligns with the observed whale accumulation patterns.
Recent resistance breakouts have occurred on relatively high volume, lending credibility to the technical analysis suggesting further upward movement. These breakouts have established new support levels that could serve as launching points for future price action.
Order flow data indicates a preference for spot purchases over derivatives trading, supporting the narrative of organic price discovery rather than leverage-driven speculation. This trading pattern typically results in more stable price movement.
At the time of writing, LINK trades at $22.37, representing a 9.1% decrease over the past 24 hours and an 11.4% decline over the past week.
The post Chainlink (LINK) Price: Understanding Recent Whale Activity appeared first on Blockonomi.