Chainlink (LINK) Eyes $35 as Whale Accumulation and Spot Momentum Drive Bullish Outlook

8 hours ago 13

February 2, 2025 by Usman Zafar

Chainlink is seeing aggressive accumulation by whales in the $18–$22 range, reflecting strong confidence among large holders.
Chainlink’s current rally is driven solely by spot trading, with leverage positions absent since early December, highlighting strong organic demand.
LINK has broken key resistance levels and is consolidating, which often sets the stage for significant price movements toward the $35–$36 range.

Chainlink (LINK) is navigating turbulent waters as its price faces significant downward pressure, reflecting the broader market downturn triggered by Bitcoin’s recent decline. This sudden shift has instilled fear across the crypto landscape, causing altcoins, including Chainlink, to lose their footing.

At the time of writing, LINK is trading at $23.29, with a 24-hour trading volume of $1.07 billion, a market cap of $14.86 billion, and a market dominance of 0.43%. The token has seen a sharp decrease of 7.05% over the past 24 hours, underscoring the volatility that has gripped the market.

Spot-Driven Rally Amid Whale Accumulation

Despite the current decline, LINK’s price action reveals some interesting dynamics. Notably, the token is trading free of leverage, with whales aggressively accumulating LINK in the $18-$22 range. This accumulation suggests strong underlying confidence among large holders.

The current rally is entirely spot-driven, with leverage positions having been flushed out since early December, and they have yet to return. However, despite the absence of leverage, LINK has managed to regain upward momentum, highlighting the resilience of its spot market demand.

Chainlink Bullish Midterm Outlook

While the short-term outlook reflects bearish sentiment, LINK’s midterm prospects remain optimistic. According to recent market observations, Chainlink has successfully broken through key resistance levels, confirmed by a retest, and is currently consolidating in this range. This consolidation phase often precedes a significant price movement.

Market analyst expectations suggest that LINK could target the $35-$36 range in the coming days. A decisive break above this resistance could pave the way for a new all-time high, signaling renewed bullish momentum. The absence of leveraged positions adds to the potential stability of this growth, reducing the likelihood of sudden liquidation events that typically exacerbate volatility.

Chainlink’s Long-Term Potential

For investors concerned about missing out on LINK’s growth, there’s still ample opportunity. Chainlink’s core technology serves as the bridge connecting blockchains to real-world data, positioning it as a critical infrastructure component in the expanding blockchain ecosystem. Its true potential is expected to unfold as regulatory clarity emerges, enabling broader adoption by banks, businesses, and institutions.

As blockchain adoption accelerates, the demand for Chainlink’s services will likely surge, driving its value higher. This positions LINK as a compelling long-term investment opportunity, with strong growth prospects well into 2025 and beyond. The current market turbulence, while unsettling, may present a strategic entry point for those looking to capitalize on Chainlink’s transformative role in the crypto space.

Read Entire Article