Key Insights
- •Chainlink eyes $19.20–$19.70 resistance amid rising short-term momentum.
- •Exchange balances drop, signaling an increase in investor accumulation of $LINK.
- •Upcoming SmartCon event could boost Chainlink’s role in financial ecosystems, driving future price growth.
Chainlink price is showing signs of increasing momentum, with bulls aiming for the resistance levels. As short-term buying pressure rises, the next steps for $LINK could be crucial in the days ahead. The token's recent movements are also supported by growing on-chain activity, further fueling optimism.
Momentum Builds for Chainlink Price
Chainlink has been testing the blue trendline as it attempts to break past resistance levels. The Chainlink price is showing promising short-term momentum, but the sustainability of this push remains unclear, especially given Sunday’s generally lower trading volume. The range between $19.20 and $19.70 is now considered the key resistance zone for the next price action.
The short-term upside potential is evident as the asset increases in value, with many traders closely monitoring its movements to see if the trend persists. According to the latest data, Chainlink’s price is currently $18.86, representing a 5.57% increase over the past 24 hours. The 24-hour trading volume is around $819 million, indicating active trading.
Traders are monitoring both market trends and on-chain data as they assess whether $LINK can break through the $19.20 to $19.70 resistance zone in the coming days.
On-Chain Metrics Suggest Accumulation
On-chain metrics show signs of accumulation, with decreasing exchange balances. This trend suggests that more LINK is being moved to private wallets, which is often seen as a bullish sign. The Holder Accumulation Ratio, which tracks the amount of LINK being added by holders, is at 98.9%.
Several analysts have pointed to this metric as an indication that Chainlink could experience a price rise. If this accumulation continues, the price could target $46 in the near term. The combination of decreasing exchange balances and rising holder accumulation has sparked discussions on the long-term prospects for $LINK.
Outflows and Low Exchange Percentages
Meanwhile, recent data shows that Chainlink experienced one of its highest outflows ever, with the percentage of LINK on exchanges at its lowest point since December 2022, following the FTX collapse. This has raised interest in the token’s future, as these signs of outflow often suggest an increasing demand for long-term holding.
#Chainlink saw one of its highest outflows ever, with the percentage of LINK on exchanges at its lowest point since December 2022, post-FTX collapse. This has raised interest in the token's future, as these signs of outflow often suggest an increasing demand for long-term holding. #LINKpic.twitter.com/m7x4t3t4qF
— crypto_condom (@crypto_condom) July 21, 2024
The upcoming SmartCon event, which will focus on its partnership with Swift, is seen as a possible catalyst for future price movements. As the CRE mainnet goes live, this could provide additional positive news for Chainlink’s role in the financial ecosystem.