Cryptocurrencies Price Prediction: Bitcoin, Litecoin & Chainlink – European Wrap 8 January

Week Ahead: Bitcoin ETF countdown begins

This week is extremely important due to the Bitcoin spot ETF approval deadline. This week will end investors’ years of waiting to get a Bitcoin ETF approved by the US Securities and Exchange Commission (SEC). As a result of this crucial event, it could bring in volatility like never before. 

On Thursday, the US Bureau of Labor Statistics will announce the inflation numbers for December. The headline inflation number was 3.1% for November, and forecasts currently sit at 3.2%, a slight increase. 

Why Litecoin active addresses spike is not a bullish sign

Ordinals made headlines for congestion on the Bitcoin blockchain, the NFT-like assets have caused a spike in active addresses on Litecoin (LTC). The surge in address activity is therefore unlikely to fuel a rally in LTC as the hype surrounding ordinals increases.

Litecoin blockchain’s active addresses crossed 697,000 (at the time of writing) in the past 24 hours, according to data from BitInfoCharts. The number eclipsed Bitcoin and Ethereum’s active addresses, supporting the thesis of rising activity on the Litecoin blockchain.

Chainlink supply on exchanges hits six-month low, fueling LINK price recovery thesis

Chainlink (LINK) price fell nearly 11% in the past week amidst speculation of Bitcoin Spot ETF rejection by the US Securities and Exchange Commission (SEC). The blockchain oracle token’s on-chain metrics paint a bullish picture for LINK price recovery this week.

A decline in Chainlink’s supply on exchanges and a rise in total wallet addresses could help LINK erase some of its weekly losses, and begin a recovery. The altcoin’s supply on cryptocurrency exchanges has hit a six-month low at 8.46% of the total Chainlink supply, according to data from Santiment, a crypto on-chain and social media market tracker.