Chainlink (LINK) displays market optimism, with over 56% of holders in profit and a notable increase in daily transactions.
Whale activity and positive technical analysis indicate strong market confidence in LINK, though some indicators hint at a potential near-term pullback.
Chainlink (LINK) Signals Strong Comeback with Majority of Holders in Profit
Chainlink ($LINK), a significant player in the cryptocurrency realm, is showing clear signs of a robust market recovery and optimism. More than 56% of LINK holders are currently in a profitable position, marking a notable shift from the extended bear market where 70% faced losses.
It looks like #Chainlink is bound for a correction!
The TD Sequential presented a sell signal on $LINK daily, 3-day, and weekly charts, anticipating a retracement toward $12.50. Failing to hold above this critical support area could extend the losses to $10.50.
Looking to buy… pic.twitter.com/jzk92ZFu25
— Ali (@ali_charts) November 13, 2023
Chainlink Network Thrives: Surge in Transactions and Whale Activity
The Chainlink network is experiencing robust transactional health, with recent data from IntoTheBlock revealing a remarkable 436% increase in daily transactions from the monthly lows. This surge isn’t just in transaction count but also in volume, reaching $515 million, a level last seen in July 2022.
Adding to this positive outlook is notable whale activity within the Chainlink ecosystem. Large holders, controlling over 1% of the total supply, have collectively increased their LINK holdings by over 52 million in the past month. This behavior reflects strong confidence in Chainlink’s value and potential, reinforcing the optimistic market sentiment.
Chainlink’s Price Trends and Analysis
Chainlink, currently trading at around $14.32 against the US Dollar, is showing a bullish trend. However, the appearance of a red candlestick in the latest trading session suggests a possible temporary slowdown in this upward momentum.
Key Indicators:
- Relative Strength Index (RSI): The RSI, standing above 60, indicates sustained bullish momentum. Yet, a recent drop from the overbought territory above 70 suggests potential selling pressure, a common response after significant price increases.
- Moving Average Convergence Divergence (MACD): The MACD, above its signal line, supports the bullish trend. However, a decrease in momentum, seen in the shrinking histogram bars, hints that the bullish trend may be losing strength.
In summary:
Chainlink’s on-chain data and technical analysis depict a market in recovery, marked by increased profitability for holders, heightened transaction activity, and significant whale interest. While the current bullish trend is evident, technical indicators advise cautious optimism, indicating a possible near-term pullback in LINK’s value. As the market evolves, these dynamics provide valuable insights into the potential trajectory of Chainlink.
Important:Â Please note that this article is only meant to provide information and should not be taken as legal, tax, investment, financial, or any other type of advice.
Join Cryptos Headlines Community
Follow Cryptos Headlines on Google News
