Chainlink (LINK) price has seen a rally in the past week, currently up by 19 percent in the last 7 days. LINK is currently trading at $11.20, following the price action of Bitcoin and other large-cap cryptocurrencies in the market.

A crypto analytics firm presented data that showed that Chainlink whales have been accumulating large amounts of LINK recently. This data shows that investors are bullish on the altcoin, while the token may be hit with more buying pressure, accumulating more bullish momentum.

Investors are confident in Chainlink’s uptrend even though the token has declined at least 50 percent from its all-time high. Crypto analytics firm Santiment tweeted:

“The top LINK non-exchange whales continue their gradual accumulation pattern. As seen on our chart, the top 100 non-addresses held 735.64M a year ago. Now up to 771.15M, the ~5% increase is indicative of clear whale confidence in the asset’s longevity.”

Another crypto analyst commented that as most of the other decentralized finance (DeFi) tokens have not followed Bitcoin’s rally, it might be time for Chainlink to be back in the spotlight. The analyst tweeted:

“Cycle lows might be in on Chainlink. Seeing a lot of the top DeFi hype coins lose its shine, makes me think that Chainlink will get some time back in the spotlight. Currently at resistance and waiting for the flip to enter. I think $BTC and $ETH lead up again.”

Chainlink’s bullish price action may not move too far up if Bitcoin does not take the lead first. Bitcoin has risen 6.5 percent in the past week, and is currently trading at $11,355. Democrat Nancy Pelosi said yesterday that discussions over a new $1.8 trillion stimulus package have ground to a halt, which President Trump is blaming on the Democratic House Speaker. 

In theory, high inflation and the US dollar losing purchasing power will send the Bitcoin price surging as it solidifies its position as a hedge investment and store of value. Bitcoin’s price could move higher in tandem with Chainlink if the stimulus package talks resume. The price trend of Chainlink and other large-cap altcoins will largely depend on Bitcoin and Ethereum prices in the coming days. 

 

Image source: Shutterstock

Leave a Reply

Your email address will not be published.