Tuesday, February 27, 2024

Analysts Predict Potential Downturn for ChainLink as Large Investors Sell.

The price of LINK is probably about to correct due to growing profit-taking by big wallet addresses within its network. ChainLink’s price increases were sparked by the release of LINK staking version 0.2. Nevertheless, since many large-wallet investors are sitting on unrealized profits, there’s a chance they might cash in and send the price down again.

Staking pool for ChainLink v.0.2 fills up

A December 11 tweet from ChainLink on X states that more than 40.87 million LINK tokens have been staked in the community staking pool for version 0.2 of ChainLink, including tokens from new users and those who are migrating from version 0.1.

Anyone in the ecosystem could be able to access v0.2 if current stakers withdrew their staked tokens and made pool space available for new stakers.

The price of ChainLink is expected to suffer as whales take profit.

On-chain data from the crypto intelligence tracker Santiment indicates that the network growth measure for LINK is diverging in a negative way. Network growth measures how many new addresses are added to an asset’s network every day. This information can be used to assess whether or not market players are adopting LINK.

The network expansion of ChainLink and the pricing of LINK are currently diverging in a negative way. This bolsters the idea that LINK will soon undergo repair.

A surge in selling pressure might cause the price of ChainLink to collapse when whale wallet addresses start making profits. Between December 1 and December 8, profit-taking surges in the Network Realized Profit/Loss (NPL) indicator correspond with whale transactions valued at $100,000 and above. This suggests that big wallet addresses are recording profits in LINK, which will probably lead to more people selling the asset on different exchanges.

The price of LINK is above important support.

According to statistics from IntoTheBlock, the price of ChainLink, which is now at $16.08 on Binance, is above the critical support zone between $14.55 and $15.94, where 38,660 wallets have accumulated $84.1 million ChainLink tokens.

It is significant to remember that 92.49% of wallet addresses with profits at the moment may choose to take profits and lower the price of LINK. Should there be a downturn, the price of LINK may find support in the range of $14.55 to $15.94.

Cryptured Team
Cryptured Team
The writers team at Cryptured.com is composed of passionate and experienced journalists who cover the latest developments in the crypto and blockchain space. They aim to provide accurate, unbiased and easy-to-understand news and information for their readers, as well as insights and analysis from industry experts. The writers team is always on the lookout for new and exciting stories that can help the general public learn more about the potential and challenges of these technologies.
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