Chainlink price has tumbled over the last three consecutive days, moving from last week’s high of $25.65 to $23.50.
Summary
- LINK price plunged as the crypto market retreated.
- It also dropped as whales continued to dump the token.
- On the positive side, the coin has strong fundamentals.
Chainlink (LINK), the biggest oracle in the crypto industry, dropped as sentiment in the crypto market worsened ahead of the Federal Reserve and as investors booked profits following last week’s rally.
Chainlink price crashes as liquidations jump
The decline also happened as liquidations jumped. CoinGlass data showed that liquidations rose to over $3.3 million, the highest level since Sept. 1. These liquidations led to more selling pressure.
LINK price also dropped as the crypto market remained in the red. Bitcoin (BTC) slipped to $115,000, while top coins like Ethereum (ETH), and Solana (SOL) were down by over 3% in the last 24 hours.
Additionally, there are signs that whales are exiting their LINK positions, possibly as they book profits or expect a crash. Nansen data shows that these investors now hold 4.71 million tokens, down from 5.27 million last month.
Still, Chainlink has some of the best fundamentals in the crypto industry. It is the biggest oracle, helping companies and other organizations bring their off-chain data on-chain. For example, the U.S. government has started bringing its vast data trove on-chain using its platform.
Chainlink has also started to build its LINK reserves using its on-chain and off-chain fees. It has now accumulated tokens worth over $6.5 million, a trend that will continue as its network fees rise amid growing ecosystem adoption.
Chainlink has some of the most important partnerships in the crypto industry. It has a deal with JPMorgan, the biggest banking group in the United States, and UBS, the biggest player in wealth management. It also has a deal with Swift, a network that is looking for ways to improve how companies send money internationally.
LINK price technical analysis
The 12-hour time frame chart shows that the Chainlink price has jumped from a low of $10.13 in April to $23 today. It has remained above the 50-period and 100-period Exponential Moving Averages.
LINK price has also formed a symmetrical triangle pattern, whose two lines are nearing their confluence. It has also formed a bullish pennant pattern.
Therefore, the token will likely have a strong bullish breakout, potentially to last month’s high of $27.83, up by about 20% above the current level.