Santiment, a market analytics tool, has reported an unusual correlation with Chainlink (LINK), noting that its price often experiences an initial boost when LINK tokens are moved to exchanges. In the past two weeks, the price of Chainlink has increased by over 23% as exchange-held LINK supply has been transferred to cold wallets.
On September 14, LINK’s supply on exchanges reached a peak of 17.2%, marking the highest point in 2023. Within ten days, this supply dropped to 16.4%, and it currently stands at around 15%. During the last seven days, the price of Chainlink has risen by 9%.
Despite a 13.7% drop in trading volume to $200,023,810 in the past week, LINK’s market capitalization increased by 1.28% to $4,020,594,959, ranking it 19th in terms of market cap.
Looking at the charts, Chainlink has been making higher highs during the week, with a brief dip and subsequent recovery. The highest price during this period was $7.30.
Chainlink (LINK) Price Surges Amidst Exchange Supply Shift
On the daily chart, LINK appears to be on the rise, hugging the upper band, indicating strong buying pressure. However, there is a possibility of a pullback from the upper band. If LINK is considered overbought, it may find support around $5.83, with further support at $5.05 if the bears take control.
On the upside, if buying pressure continues, LINK could target the $8.50 level. Increased trading activity at the current price level suggests potential for further gains, but traders should exercise caution.
Please note that cryptocurrency markets can be highly volatile, and trading decisions should be made with care and consideration of market conditions.