Crypto: Chainlink drops to $27, but attracts whales

The price of the Chainlink (LINK) crypto recently fell by 13%, reaching $27. This downtrend erases the gains of the previous week. The downside: crypto whales continue to accumulate this promising token.

Chainlink: a 13% drop in a turbulent crypto market

The price of the crypto-asset Chainlink (LINK) fell 13% in three days. It hit $27, down from a yearly high of $30.95. This correction reflects the general weakness of the cryptocurrency market. For example, the price of Bitcoin fell to $105,000. The flagship crypto thus recorded a drop of 3% compared to its weekly peak of $108,000.

According to technical indicators, the LINK broke its support at $27.58. It forms a bearish “three tops” pattern. Which signals increased selling pressure. According to expert crypto analysts, the price could hit a psychological bottom at $25 before a possible rebound.

This drop could, however, be seen as a buying opportunity, particularly for investors betting on projects with high adoption in DeFi.

Despite this fall, Chainlink continues to play a key role in blockchain. The proof is that it secures a total value of $41 billion through partnerships with major platforms like AAVE and Compound. These solid fundamentals place LINK among the most promising projects in the crypto ecosystem.

Strategic Accumulation: Whales and Institutions Bet on Chainlink

Despite the price decline, a crypto whale has stepped up its accumulation of LINK tokens. Concretely, he added 65,000 units to his portfolio on December 18. That’s almost $1.8 million. According to LookOnChain, this transaction brings the total acquisition of this whale to more than $17.3 million.

At the same time, institutions like World Liberty Financial (led by Donald Trump) have also shown their interest in Chainlink. Recently, this decentralized finance platform acquired $2 million worth of LINK tokens to integrate Chainlink’s Oracle solutions into its systems.

Technical indicators and outlook: what does the future hold for LINK crypto?

From a technical perspective, Chainlink shows signs of short-term weakness. Its price is moving around the 23.6% Fibonacci retracement level, at $26. However, it remains below the midline of Andrew’s Pitchfork model.

That’s not all! This crypto asset also broke its 50-period moving average. Which could signal a continuation of the decline to $25.

However, some crypto analysts remain optimistic about a potential rebound. This forecast is based on:

• the growing demand for Chainlink’s DeFi solutions,
• its major partnerships such as that with Swift Network,
• discussions around a potential ETF based on LINK.

Upstream, IntoTheBlock data reveals a continued increase in the number of holders : more than 688,000 active addresses in December (compared to a monthly average of 686,000).

Despite a significant correction, Chainlink therefore remains a key player in cryptocurrency and decentralized finance.