- 12 addresses bought LINK worth $17.5 million.
- The price fell, but a recovery was said to be imminent.
Although Chainlink [LINK] has been hit by the market downturn, the cryptocurrency seems to be making its mark as one of the projects with great long-term potential. This was evident from a new revelation from Lookonchain.
According to Lookonchain, 12 new wallets have been collected that may belong to an institution LINK. Details from the post showed that the total LINK collected was worth $17.5 million.
However, that wasn’t the only thing that happened with the transaction.
A fall is not the end
The buyer also sent the tokens from Binance. Transactions indicate a sense of confidence in the long-term performance of a cryptocurrency.
We noticed a whale/institution building up $LINK.
12 new wallets (possibly from the same person) withdrawn 1,287,492 $LINK($17.5 million) from #Binance in the past 3 days.
Address:
0xfca9eD717E3878DdE14D3B10F49a751368A66384
0x7cc6388B25146B4D05270098Bfc8A587Ad5Db24B… pic.twitter.com/hCFVE0Ofer— Lookonchain (@lookonchain) January 7, 2024
Despite the bullish sentiment surrounding Chainlink, its value has fallen over the past 24 hours. At the time of writing, LINK changed hands for $13.52. This price represented a decline of 1.24% within the said period.
However, according to CoinMarketCap data obtained by AMBCrypto, the slight decline was a signal of LINK’s strength.
This conclusion came because most altcoins, which were close to Chainlink’s market capitalization, plummeted much faster. So it was no surprise that analyst Ali Martinez posted a bullish thesis for LINK.
Martinez looked at the LINK/USD 12-hour chart. According to his findings, LINK could recover towards $15.20 or $17.30. The analyst concluded that the Tom DeMark (TD) Sequential presented a buying opportunity.
#Chain link | The TD Sequential presents a buy signal on the 12-hour chart as #CLUTCH transactions around the lower limit of a parallel channel. If validated, $LINK could rebound towards $15.2 or $17.3! pic.twitter.com/FSDJOHGIKv
— Ali (@ali_charts) January 7, 2024
The TD Sequential is a technical tool designed to identify a potential price reversal. In most cases, the reversal occurs due to trend exhaustion.
In Chainlink’s situation, salespeople had become fatigued. This therefore offered buyers the opportunity to take advantage of a potential uptrend.
LINK holders will soon be able to make some gains
Additionally, AMBCrypto deemed it necessary to assess the growth of the Chainlink network. To do this, we looked at the number of LINK holders since December 1, 2023.
Santiment’s on-chain data showed that the number of LINK holders at that time was 699,710. However, press time data showed the number had grown to 711,000.
This increase was evidence of the initial conclusion that sentiment around the cryptocurrency was bullish.
Source: Santiment
Regarding the price, the Aroon indicator showed that LINK’s possible rise to $17 could take some time. At the time of writing, the Aroon Up (orange) was 0%. The Aroon Down (blue), on the other hand, was 85.71%.
Read Chainlink’s [LINK] Price forecast 2024-2025
Thus, LINK’s momentum was showing bearish signals at the time of writing. However, the RSI value started to rise and stood at 44.91 at the time of writing. Should the indicator continue to rise, LINK could reach $14.
Source: TradingView
Furthermore, if the RSI turns around the 50.00 midpoint, LINK’s price could reach $15. This could also portend a higher value for the cryptocurrency.