Grayscale adds Chainlink to its large-cap crypto fund, providing tailwind to LINK price


  • Chainlink is now included as an offering in Grayscale’s Digital Large Cap fund.
  • Chainlink oracles are now being used by dYdX protocol and Ether Cards to create dynamic NFTs.
  • LINK price has confirmed a bullish breakout and has room for a 20% upswing.

Chainlink adoption gains traction due to multiple oracle integrations and significant development in the institutional realm. LINK price affirms these growing fundamentals and hints at a bullish outlook.

Grayscale welcomes LINK

In a recent announcement, Grayscale Investment Company revealed a change to their Digital Large Cap fund (GDLC) as it included Chainlink’s native token LINK. This step marks the oracle token’s entry alongside other prominent cryptocurrencies like Bitcoin, Ethereum, Litecoin and more.

This move follows the freshly launched Grayscale Chainlink Trust, which opens LINK up to interested institutional investors. At the time of writing, 0.9% of the GDLC’s portfolio is allocated to the oracle token.

The investment company now holds 115,570 LINK tokens, which is a 131% increase since March 31.

Other developments include the integration of Chainlink oracles by StarkWare, a blockchain company that creates L2 scaling solutions. This development will help the company extend the oracle functions to high-performance Layer 2 solutions.

A crucial step for Chainlink’s adoption was its entry into the Non-Fungible Token (NFT) space through the Ether Cards company. The blog stated,

In order to bring about the unlimited potential of dynamic NFTs, we are working intimately with Chainlink as the go-to oracle solution for Ether Cards. We have already begun integrating Chainlink VRF as a means of providing developers with access to verifiable randomness on-chain. 

With this integration, dynamic NFTs, equipped with smart contracts, or other NFTs, are one step closer to reality.

LINK price eyes new all-time highs

The Chainlink price created multiple lower highs and higher lows, which evolve into a pennant when the swing points are connected using trend lines. A 115% surge that precedes this consolidation is known as the flagpole.

Together, they form a bullish pennant pattern. This technical formation forecasts a 53% rally, equivalent to the flag pole’s height added to the breakout point at $29.41.

April 1 marked a successful breach of this setup, which kick-started an uptrend toward $45.19. At the time of writing, this uptrend faces resistance around its previous all-time high at $36.93.

This barrier is portrayed by the Momentum Reversal Indicator’s breakout lines that extend from $37.2 to $39.2. Hence, a decisive close above this level on the daily chart provides a secondary confirmation toward the target at $45.19.

LINK/USDT 1-day chart

LINK/USDT 1-day chart

It would be fatal for the oracle token if the buyers fail to push past the area of resistance mentioned above. Suppose the Chainlink price slices through the 50 Simple Moving Average (SMA) at $29.21, a 13% drop to the 100 SMA at $25.25 could most likely ensue.

However, if the sellers manage to keep the LINK price below $24 for an extended period, it would create a lower low and invalidate the bullish outlook.

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.

Cryptos feed

Latest Crypto News


Latest Crypto News & Analysis

Editors’ Picks

Shiba Inu price looks south towards $0.0000060 as technicals favor SHIB bears

Amidst an underlying downbeat mood across the crypto market, Shiba Inu extends the bearish momentum into the third straight day on Sunday. The tide is seen turning in favor of SHIB bears once again, as well depicted by Shiba Inu’s daily technical graph, with the market licking its wounds from the China-led blow. Upside remains elusive with 61.8% Fib offering strong resistance.

More Shiba Inu news

Cardano price eyes a drop towards $1.85

Cardano price is once again on the slippery slope this Sunday, kicking off a new week on the wrong footing, as ADA bulls lack follow-through recovery momentum. ADA sellers target 100-DMA at $1.85 on a firm break below $2.

More Cardano News

Ethereum bears contemplate a drop to $2450

ETH price is building up downside pressure while clinging to the 200-SMA support. RSI remains flat below the midline, keeping the sellers cheerful. A drop towards $2450 remains in the offing if the 200-SMA caves in.

More Ethereum News

Polkadot price at make-or-break point as DOT awaits a range breakout

Polkadot price spots a potential symmetric triangle pattern on the 1D chart. RSI stands neutral at 50.00, suggesting a lack of clear directional bias. 21-DMA offers immediate resistance, 50-DMA guards the downside.

More Polkadot News

BEST CRYPTO BROKERS/EXCHANGES



Bitcoin Weekly Forecast: Markets revert to mean, but BTC price remains indecisive

Bitcoin price shows considerable strength after springing from the recent crashes. Still, it is uncertain whether the current bullish impulse will morph into a new uptrend or lead to a more profound decline.

Read the weekly forecast

BTC

ETH

XRP