Oracle service provider Chainlink has once again unlocked LINK tokens earlier today on binance, as part of their scheduled unlocking. Despite this supply increase in the market, if history repeats, the LINK price could be gearing up for a major rally going ahead.
Chainlink Unlocks 18.125 Million Native Tokens
As per the on-chain data, Chainlink has unlocked a total of 18.125 million LINK tokens per the ongoing unlocking schedule and deposited them to crypto exchange Binance. In total, 18.75 million $LINK tokens, worth $215 million, were unlocked, with 625,000 $LINK ($7.18 million) sent to a multisig wallet.
In the last two years since August 2022, Chainlink has unlocked a total of $1.5 billion worth of LINK tokens every month while depositing around 126 million $LINK to Binance, at an average price of $10.13.
Interestingly, historical data shows that after every LINK token unlock, the LINK price has surged in 30 days following the unlock. This has been true for seven out of the past eight unlocks.
The #Chainlink non-circulating supply wallet unlocked another 18.125M $LINK($207.4M) and deposited it into #Binance today.
Before this, #Chainlink had unlocked 8 times in total, and 7 of them saw price increases 30 days after unlocking.
Will this unlock also bring an increase?… pic.twitter.com/HRvrgsWs8B
— Lookonchain (@lookonchain) September 21, 2024
Despite these massive unlocks and LINK deposits to centralized exchanges (CEXs), Chainlink still continues to hold 372.75 million $LINK tokens across 24 non-circulating supply contracts.
LINK Price Rally Ahead?
The LINK price movement has been a bit laggard recently with flat returns over the past month. After the Chainlink price touched a high of over $20.00 this year in March, the LINK price has moved sideways and corrected more than 50% since then. Currently, the Chainlink price is trading at $11.35 with a market cap of $7.114 billion.
Thus, if history repeats again and LINK prepares for the rally, it has a 100% run-up towards hitting a new all-time high level. As per the recent report, there’s a lack of momentum for LINK price in either direction suggesting a major indecision among traders.
On the developmental front, the oracle platform has formed some key partnerships. For e.g. Ethereum Layer-2 scaling solution Metis has recently integrated Chainlink Cross-Chain Interoperability Protocol (CCIP).
According to Metis, this collaboration aims to expand the variety of dApps developers can create on its platform, opening up unique opportunities for cross-chain functionality.
Our integration with @Chainlink‘s Cross-Chain Interoperability Protocol (CCIP) has unlocked a range of new use cases for Metis🌿 builders to explore.
From cross-chain payments to multi-chain DEXs, there’s something for everyone. 👇
🧵 pic.twitter.com/FZODnMl0Yn
— Metis🌿 (@MetisL2) September 20, 2024
Just two weeks back, Sonic Labs integrated Chainlink CCIP to enhance the functionality of decentralized applications (dApps) on its platform.
Bhushan Akolkar
Bhushan is a FinTech enthusiast with a keen understanding of financial markets. His interest in economics and finance has led him to focus on emerging Blockchain technology and cryptocurrency markets. He is committed to continuous learning and stays motivated by sharing the knowledge he acquires. In his free time, Bhushan enjoys reading thriller fiction novels and occasionally explores his culinary skills.
Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
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