Crypto: Chainlink Drops To $27, But Attracts Whales

The price of the crypto Chainlink (LINK) recently fell by 13%, reaching $27. This downward trend erases the gains from the previous week. The flip side: crypto whales continue to accumulate this promising token.

The whale withdrew another 65,000 $LINK($1.81M) from #Binance 40 minutes ago.

In the past 4 days, this whale has withdrawn a total of 594,998 $LINK($17.31M) from #Binance.https://t.co/09rrsXqyml pic.twitter.com/H4N9LkW8z9

— Lookonchain (@lookonchain) December 18, 2024

Chainlink: a 13% drop in a turbulent crypto market

The price of the crypto asset Chainlink (LINK) declined by 13% in three days. It reached $27, down from an annual peak of $30.95. This correction reflects the overall weakness of the cryptocurrency market. For example, the price of Bitcoin has dropped to $105,000. The leading crypto is thus recording a 3% decrease from its weekly high of $108,000.

According to technical indicators, LINK has broken its support at $27.58. It is forming a bearish “triple top” pattern. This signals increased selling pressure. According to expert cryptocurrency analysts, the price may hit a psychological floor at $25 before a potential rebound.

This drop could, however, be seen as a buying opportunity, particularly for investors betting on high-adoption projects in DeFi.

Despite this decline, Chainlink continues to play a key role in blockchain. The proof is that it secures a total value of $41 billion through partnerships with major platforms like AAVE and Compound. These solid fundamentals place LINK among the most promising projects in the crypto ecosystem.

Strategic accumulation: whales and institutions bet on Chainlink

Despite the price decline, a crypto whale has intensified its accumulation of LINK tokens. Specifically, it added 65,000 units to its portfolio on December 18. This represents nearly $1.8 million. According to LookOnChain, this transaction brings the whale’s total acquisition to over $17.3 million.

In parallel, institutions like World Liberty Financial (led by Donald Trump) have also shown their interest in Chainlink. Recently, this decentralized finance platform acquired $2 million worth of LINK tokens to integrate Chainlink’s Oracle solutions into its systems.

Technical indicators and outlook: what does the future hold for crypto LINK?

From a technical standpoint, Chainlink shows signs of short-term weakness. Its price hovers around the Fibonacci retracement level of 23.6%, at $26. However, it remains below the median line of Andrew’s Pitchfork model.

That’s not all! This crypto asset has also broken its 50-period moving average. This could signal a continuation of the decline to $25.

However, some crypto analysts remain optimistic about a potential rebound. This forecast relies on:

• the growing demand for Chainlink’s DeFi solutions,
• its major partnerships such as the one with Swift Network,
• discussions around a potential ETF based on LINK.

Upstream, the data from IntoTheBlock reveals a continuous increase in the number of holders: over 688,000 active addresses in December (compared to a monthly average of 686,000).

Despite a significant correction, Chainlink remains an essential player in cryptocurrency and decentralized finance.