- Chainlink observed the largest spike in whale transactions in 2023, early on Tuesday.
- LINK noted over 2,600 transactions exceeding $100,000 in a single day.
- Chainlink recorded the largest movement of dormant LINK tokens, since September 15, supporting a bullish thesis.
Chainlink price climbed nearly 11% in the past week, amidst bullish catalysts. Whale activity, and declining on-chain metrics such as Supply on Exchanges, support gains in LINK price. Chainlink is trading at $14.71 on Binance, yielding nearly 2% daily gains.
Chainlink price gains supported by on-chain metrics
Chainlink witnessed the largest spike in whale transactions, seen in 2023, on November 28. Based on data from crypto intelligence tracker Santiment, whale transactions valued at $100,000 and higher, hit 2,620 on Tuesday.
As seen in previous instances in the last six months, large spikes in whale transactions are followed by a rally in LINK price, and a local top within 2-3 days of the rise in whale activity. This occurred on July 20, October 23 and November 9. While the count of whale transactions exceeding $100,000 and higher was relatively low when compared to November 28, it was followed by a rally in LINK price within a 2-3 day timeframe.
Whale Transaction Count (>$100,000) in LINK
LINK Supply on Exchanges (as a % of the total supply) has declined from 17.22% on September 15 to 15.04% on November 28. This reflects negative flows on exchanges, as LINK leaves exchange platforms, reducing the selling pressure on Chainlink.
Chainlink Supply on Exchanges (as % of total supply) and Exchange Flow Balance
Based on data from Santiment, Chainlink has observed its largest movement in dormant tokens for 11 weeks. Santiment analysts correlate spikes in the movement of dormant tokens, or ‘Age Consumed’ levels, with price rises in LINK. After the September 15 spike where 8.34 billion dormant link tokens moved, price climbed nearly 31% within a two week period.
As seen in the chart below, on November 28, 4.28 billion dormant LINK tokens moved, paving way for Chainlink gains.
Chainlink dormant token movement
These on-chain metrics support LINK price gains. At the time of writing, LINK is trading at $14.71, up 2% in the last 24 hours.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.