Chainlink (LINK), the native token of the decentralized oracle network Chainlink, has experienced a significant price surge of 13% over the past week. This upward momentum comes amid reports of increased accumulation by large investors, often referred to as "whales."
According to on-chain analytics platform Lookonchain, a notable number of new wallets have withdrawn a substantial amount of LINK tokens from Binance, a major cryptocurrency exchange. In just seven days, 54 new wallets withdrew a total of 2.08 million LINK tokens, valued at approximately $30.3 million.
Further analysis reveals that the two largest whale wallets have also been actively involved, moving around $2 million worth of LINK. This accumulation by institutional investors and whale accounts has contributed significantly to the recent price surge.
As of Tuesday, July 2nd, LINK prices are up 1%, hitting an intraday high of $14.66 during Asian trading. This recovery follows a dip in late June, with LINK now almost 13% higher than its recent low of $13.
Despite the positive trend, it's important to note that LINK, like many other altcoins, has been experiencing a general downtrend since its 2024 high of $21.70 in mid-March. It also remains significantly below its all-time high of $52.70, reached in May 2021.
However, Chainlink investors remain optimistic about the future, driven by the strong narrative of real-world asset (RWA) tokenization. This narrative suggests that as more real-world assets are tokenized on the blockchain, the demand for reliable oracle services like Chainlink will increase, potentially driving up the price of LINK.
The ongoing accumulation by whales further strengthens this optimism. While LINK may not have fully recovered from its previous highs, the current upward trend and increased interest from large investors suggest a potential shift in momentum.
As the crypto market continues to evolve, Chainlink's role as a leading oracle provider is becoming increasingly crucial. Whether this will translate into a sustained price increase for LINK remains to be seen, but the current indicators are certainly promising for Chainlink investors.
July 2024, Cryptoniteuae