Connect with us

chainlink

Chainlink Bullish Signal: LINK Address Activity Returns To 2021 Levels

Published

on

Chainlink Bullish Signal: LINK Address Activity Returns To 2021 Levels

Data shows Chainlink address activity has returned to 2021 levels recently, a sign that could turn out to be bullish for the asset’s value.

Chainlink Daily Active Addresses At High Levels Recently

According to data from the on-chain analytics firm Santiment, this increase in LINK activity first started around two months ago. The relevant indicator here is the “daily active addresses,” which tells us the total number of addresses that were involved in a transaction on any given day.

The metric counts both senders and receivers in its calculation, and only accounts for unique addresses in the data, meaning that the wallets that participated in multiple transfers on the same day are only counted once. This helps remove duplicate transactions and other noise from the data, and provides a more accurate picture of the network activity.

Advertisement

When the value of this indicator is high, it means a large number of daily users are interacting in some way on the blockchain right now. Such a trend shows the market is active currently.

On the other hand, low values of the metric imply not many unique users are showing trading activity at the moment. This kind of trend can be a sign that the general interest around the crypto is low at the moment.

Now, here is a chart that shows the trend in the Chainlink daily active addresses over the last few years:

Looks like the value of the metric has been elevated in recent weeks | Source: Santiment on Twitter

As shown in the above graph, the Chainlink daily active addresses were at pretty low levels for most of 2022. This was because the investors weren’t finding the coin that interesting to trade during the bear market consolidation.

Advertisement

In the last couple of months or so, however, there has been a very noticeable rise in the unique users transacting on the network daily. In fact, these values of the indicator are similar to those seen during 2021, when the bull run was going on.

Usually, high network activity is bullish for the price in the long term as increased utility of the chain builds a more sustainable ground for the future. LINK has been rallying in the last week or so, which may suggest that this high activity from holders in the last two months may already be paying off for the crypto.

Also, while a high number of users are important for starting price moves like this, it’s also true that they are needed during such rallies to keep them going. If the Chainlink daily active addresses continue to be at the current high levels, then it may mean the current rally can keep up the momentum for a while longer.

LINK Price

At the time of writing, Chainlink is trading around $6.3, up 13% in the last week.

Advertisement
The value of the asset seems to have surged in the last few days | Source: LINKUSD on TradingView

Featured image from Paolo Feser on Unsplash.com, charts from TradingView.com, Santiment.net

Hououin Kyouma

Loves to write, enthusiastic about cryptocurrency. Currently studying Physics at university.

Advertisement

altcoin

Chainlink [LINK] dropped to a key support level – Will it hold?

Published

on

Chainlink [LINK] dropped to a key support level – Will it hold?

Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion

  • LINK faced a price rejection at the selling pressure zone at $7.500.
  • Holders still enjoyed profits.

Chainlink’s [LINK] uptrend momentum was facing a crucial short-term blockade. LINK dropped sharply by 6% after hitting the above crucial selling pressure zone. Its value declined from $7.484, but the plunge stopped at $7.065. 


Is your portfolio green? Check out the LINK Profit Calculator


At press time, LINK’s value was $7.098 and could break a crucial support level in the next few hours if Bitcoin [BTC] fails to reclaim the $23.5K level. 

The support at $7.075: Can it hold?

Source: LINK/USDT on TradingView

Advertisement

At press time, LINK’s Relative Strength Index (RSI) was 49, indicating an almost neutral structure leaning toward a bearish bias. Therefore, bears could take control of the market, especially if BTC drops below the $23.5K level. 


Read Chainlink [LINK] Price Prediction 2023-24


Such a move could see LINK break below the $7.065 support level and settle at $7.013 or $6.886 in the next few hours. This would offer short-selling opportunities. 

However, a break above the $7.171 hurdle would invalidate the above bias. Such an upswing would tip LINK bulls to break above the bearish order block at $7.306 and retest the selling pressure area of $7.500.

Investors and swing traders should track BTC price action, especially along the $23.5K price level. Any drop below the level would tip LINK bears to devalue the asset in the short term, while a surge above it would push LINK’s value toward $7.306. 

Advertisement

LINK’s hourly active addresses spiked, but sentiment turned negative

Source: Santiment

As per Santiment data, LINK’s active addresses spiked in the past hour, indicating that more accounts were trading the asset, which could boost its trading volume and buying pressure. If the spikes continue, the $7.065 support could hold. 

However, any decline in the active addresses would tip bears to devalue the asset. In addition, LINK’s sentiment had dropped sharply and turned negative, indicating that analysts were bearish on the asset. This could undermine bullish momentum in the short term. 

Nevertheless, short-term holders still pocketed gains, as evidenced by the positive elevation of 30-day MVRV. But a drop in LINK’s prices could eat away holders’ profits, thus worth tracking BTC price action to gauge the status of investors’ holdings. 

Advertisement

Ser Suzuki Shillsalot has 8 years of experience working as a Senior Investigative journalist at The SpamBot Times. He completed a two-hour course in journalism from a popular YouTube video and was one of the few to give it a positive rating. Shillsalot’s writings mainly focus on shilling his favourite cryptos and trolling anyone who disagrees with him. P.S – There is a slight possibility the profile pic is AI-generated. You see, this account is primarily used by our freelancer writers and they wish to remain anonymous. Wait, are they Satoshi? :/

Advertisement

Continue Reading

altcoin

Chainlink [LINK] drops to crucial support zone: Is a price reversal likely?

Published

on

Chainlink [LINK] drops to crucial support zone: Is a price reversal likely?

Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion.

  • LINK dropped to a key demand zone.
  • LINK monthly holders’ profits tanked.

Chainlink [LINK] saw a short-term devaluation on 30 January, but a recovery could be likely. LINK plunged by 10%, dropping from $7.518 to $6.748. The drop followed Bitcoin’s [BTC] price action after the king coin lost hold of the $23k zone – setting most of the altcoins into short-term price correction. 


Read Chainlink’s [LINK] Price Prediction 2023-24


At press time, LINK’s value was $6.925 and flashed green after hitting a key support zone. 

The support zone of $6.754 – $6.883: Can bulls prevail?

Source: LINK/USDT on TradingView

Advertisement

The range level of $6.754 – $6.883 (green) was a key resistance zone before being flipped into a support area. It blocked LINK’s rally around mid-January and became a selling pressure zone, pushing LINK to new support at $6.329.  

But a bearish breaker on 20 January flipped the level to support. Since then, the level has been retested twice and breached once as support. Therefore, it has proven to be a key demand zone that could boost bulls’ recovery efforts. 

As such, it could help bulls launch a recovery targeting the new selling pressure zone (red) at $0.7500. In addition, a retest of the December high of $7.681 could be possible if BTC reclaims the $23.5k level and surges afterwards. 

However, a breach below the support zone will invalidate the above bullish bias. But the drop could be contained by $6.606 or $6.329 levels. 

The On Balance Volume (OBV) has increased since mid-January, showing an increasing demand for the asset. LINK’s RSI value was 50; thus, it was in a neutral structure at press time. So, any extra surge in demand could help bulls to sustain the price recovery. 

Advertisement

Chainlink monthly holders’ profit declined, but trading volume increased

Source: Santiment

As per Santiment data, LINK’s sharp price decline saw a massive drop in monthly holders’ profit, as evidenced by the neutral 30-day MVRV (Market Value to Realized Value) ratio. It means monthly holders’ profits had declined to zero. But a price recovery could help recover the losses. 


Is your portfolio green? Check out the LINK Profit Calculator


Despite the profit decline, weighted sentiment remained positive, indicating that investors were bullish on the asset. In addition, there was an uptick in trading volumes, as indicated by a surge in daily active addresses. Therefore, a price reversal could be likely, and the support zone could hold strong for the bulls’ recovery. 

However, the FOMC meeting could unsettle bulls if it adopts a hawkish stance. Therefore, investors and traders should track FOMC announcements and BTC’s price action.

Advertisement

Ser Suzuki Shillsalot has 8 years of experience working as a Senior Investigative journalist at The SpamBot Times. He completed a two-hour course in journalism from a popular YouTube video and was one of the few to give it a positive rating. Shillsalot’s writings mainly focus on shilling his favourite cryptos and trolling anyone who disagrees with him. P.S – There is a slight possibility the profile pic is AI-generated. You see, this account is primarily used by our freelancer writers and they wish to remain anonymous. Wait, are they Satoshi? :/

Advertisement

Continue Reading

Analysis

Biggest Movers: MATIC Retreats From 12-Week High On Monday

Published

on

Biggest Movers: MATIC Retreats From 12-Week High On Monday

Polygon retreated from a multi-month high to start the week, as traders moved in to secure recent gains. Chainlink also moved lower, as prices were unable to break out of a key resistance level. Market sentiment in cryptocurrencies shifted today, with the global market cap trading 2.11% lower as of writing.

Polygon (MATIC)

Polygon (MATIC) was one of Monday’s most notable movers, with prices retreating from recent gains.

MATIC/USD slipped to an intraday bottom of $1.11 to start the week, less than 24 hours after rising to a high at $1.19 on Sunday.

Advertisement

Sunday’s move pushed polygon to its strongest point since November 8, as prices neared a ceiling of $1.20.

MATIC/USD – Daily Chart

Looking at the chart, the decline in MATIC commenced following a failed breakout of a ceiling on the relative strength index (RSI).

As of writing, the index is tracking at 62.98, after failing to move beyond a resistance level of 73.00

Price strength now seems to be looking for a floor, with a target of 60.00 a possible destination for sellers.

Chainlink (LINK)

Chainlink (LINK) was also lower to start the week, as the token was unable to move beyond a key price ceiling over the weekend.

Advertisement

Following a high of $7.45 on Sunday, LINK/USD declined to a low of $6.98 earlier in the day.

Like with polygon, today’s decline in chainlink came after a failed breakout of the resistance level at $7.50.

LINK/USD – Daily Chart

As of writing, LINK is back above $7.00, as earlier declines have somewhat eased. This comes as the RSI moves closer to a point of support.

The index is currently tracking at 56.06, with a floor of 55.00 the next visible target for bears.

Bulls are likely still present, however, and could look to make a move above $7.50 in the coming days.

Advertisement

Register your email here to get weekly price analysis updates sent to your inbox:

Could we see polygon move above $7.50 in the next few days? Let us know your thoughts in the comments.

Eliman Dambell

Eliman brings an eclectic point of view to market analysis. He was previously a brokerage director and online trading educator. Currently, he acts as a commentator across various asset classes, including Crypto, Stocks and FX, whilst also a startup founder.

Advertisement

Image Credits: Shutterstock, Pixabay, Wiki Commons

Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.

Advertisement

Continue Reading

Top posts

Nigerian President Barred From Extending Old Naira Banknote Demonetization Deadline Nigerian President Barred From Extending Old Naira Banknote Demonetization Deadline
Abdulrasheed Bawa3 hours ago

Nigerian President Barred From Extending Old Naira Banknote Demonetization Deadline

With just a few days left before the old naira banknotes are demonetized on Feb. 10 as scheduled, a court...

Craig Wright loses U.K. case as judge rules Bitcoin file format can’t be copyrighted Craig Wright loses U.K. case as judge rules Bitcoin file format can’t be copyrighted
Legal9 hours ago

Craig Wright loses U.K. case as judge rules Bitcoin file format can’t be copyrighted

Craig Wright loses U.K. case as judge rules Bitcoin file format can’t be copyrighted Mike Dalton · 7 seconds ago...

Monero [XMR]: Can bulls defend $163 support level as bears take over Monero [XMR]: Can bulls defend $163 support level as bears take over
altcoin11 hours ago

Monero [XMR]: Can bulls defend $163 support level as bears take over

Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s...

Avalanche dominance under threat? Investors worry as GMX shifts to Arbitrum Avalanche dominance under threat? Investors worry as GMX shifts to Arbitrum
altcoin12 hours ago

Avalanche dominance under threat? Investors worry as GMX shifts to Arbitrum

GMX moves to Arbitrum, threatening Avalanche. Decreasing sentiment, declining TVL & NFT trades for Avalanche. According to the latest data...

Cryptocurrency Exchanges Offer Assistance To Earthquake-Hit Turkey Cryptocurrency Exchanges Offer Assistance To Earthquake-Hit Turkey
aid12 hours ago

Cryptocurrency Exchanges Offer Assistance To Earthquake-Hit Turkey

Major crypto exchanges have offered to help the people of Turkey to overcome the consequences of this week’s devastating earthquake....

Robinhood saw crypto transaction revenue fall by 24% in Q4 2022 Robinhood saw crypto transaction revenue fall by 24% in Q4 2022
Bear Market12 hours ago

Robinhood saw crypto transaction revenue fall by 24% in Q4 2022

Robinhood saw crypto transaction revenue fall by 24% in Q4 2022 Mike Dalton · 2 hours ago · 1 min...

Trust Wallet says user’s $4M hack was done via social engineering Trust Wallet says user’s $4M hack was done via social engineering
Hacks12 hours ago

Trust Wallet says user’s $4M hack was done via social engineering

Trust Wallet says user’s $4M hack was done via social engineering Oluwapelumi Adejumo · 2 hours ago · 1 min...

Cardano approaches critical resistance level of $0.42: Bulls to witness more gains? Cardano approaches critical resistance level of $0.42: Bulls to witness more gains?
ADA price action13 hours ago

Cardano approaches critical resistance level of $0.42: Bulls to witness more gains?

Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s...

Whale activity on the Bitcoin network makes up 50% of all transactions Whale activity on the Bitcoin network makes up 50% of all transactions
whale14 hours ago

Whale activity on the Bitcoin network makes up 50% of all transactions

Got a story tip? Email [email protected] Disclaimer: By using this website, you agree to our Terms and Conditions and Privacy...

Smaller exchanges see around $200M in Bitcoin withdrawn over past week Smaller exchanges see around $200M in Bitcoin withdrawn over past week
Analysis15 hours ago

Smaller exchanges see around $200M in Bitcoin withdrawn over past week

Smaller exchanges see around $200M in Bitcoin withdrawn over past week Oluwapelumi Adejumo · 6 hours ago · 2 min...

Cardano: Whale activity and booming ecosystem propel ADA Cardano: Whale activity and booming ecosystem propel ADA
ada16 hours ago

Cardano: Whale activity and booming ecosystem propel ADA

Whale transactions on Cardano network surge, boosting ADA. Growing Cardano ecosystem drives TVL growth and increased fees. Cardano [ADA] gained...

3AC Co-Founder Kyle Davies Fails To Respond To Liquidators’ Subpoena Despite Twitter Delivery 3AC Co-Founder Kyle Davies Fails To Respond To Liquidators’ Subpoena Despite Twitter Delivery
Uncategorized16 hours ago

3AC Co-Founder Kyle Davies Fails To Respond To Liquidators’ Subpoena Despite Twitter Delivery

According to recent court filings, Kyle Davies, co-founder of the defunct cryptocurrency hedge fund Three Arrows Capital (3AC), has allegedly...

SEC targets registered crypto advisors as top priority for 2023 SEC targets registered crypto advisors as top priority for 2023
Regulation16 hours ago

SEC targets registered crypto advisors as top priority for 2023

SEC targets registered crypto advisors as top priority for 2023 Liam ‘Akiba’ Wright · 7 hours ago · 2 min...

Tangem Review Tangem Review
Uncategorized16 hours ago

Tangem Review

Tangem Ratings at a Glance Product Offerings Customer Service Customer Pricing User Benefits User Experience Overall Rating Tangem wallet is...

The 5 Best Cryptos To Buy This Week For 30x Gains! The 5 Best Cryptos To Buy This Week For 30x Gains!
Cryptocurrency17 hours ago

The 5 Best Cryptos To Buy This Week For 30x Gains!

One of the main reasons behind the crypto rally we have seen in January is Fed’s report that has shown...

ApeCoin [APE]: Yuga Labs’ new development could impact the ecosystem in this manner ApeCoin [APE]: Yuga Labs’ new development could impact the ecosystem in this manner
altcoin17 hours ago

ApeCoin [APE]: Yuga Labs’ new development could impact the ecosystem in this manner

Yuga Labs’ new game boosts NFT collections and APE coin’s popularity. Increased funding for grants and growing NFT interest could...

3AC liquidators files against Kyle Davies for ignoring Subpoena order 3AC liquidators files against Kyle Davies for ignoring Subpoena order
Bankruptcy17 hours ago

3AC liquidators files against Kyle Davies for ignoring Subpoena order

3AC liquidators files against Kyle Davies for ignoring Subpoena order Christian Nwobodo · 8 hours ago · 1 min read...

Top 10 Stablecoins To Buy In 2023 Top 10 Stablecoins To Buy In 2023
Cryptocurrency17 hours ago

Top 10 Stablecoins To Buy In 2023

The article will suggest you the top 10 stablecoins to buy in the beginning of 2023 Stablecoins are becoming more...

Trending