Will Chainlink price rally survive the 6.1 million LINK token unlock and rising whale activity?

Chainlink’s circulating supply increased earlier today when 6.1 million LINK tokens were moved to Binance. The last time token unlocks happened, LINK price held its ground and sustained its gains. It remains to be seen how the Ethereum-alternative reacts to rising whale activity and the recent token unlock. 

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Chainlink network witnesses token unlock and whale activity

Chainlink tokens worth $42.3 million were unlocked from the non-circulating supply contract and moved to Binance, the largest cryptocurrency exchange by volume, nearly five hours ago.

6.1 million LINK tokens were unlocked

The last two LINK token unlock events occurred in August and November 2022 and Chainlink held steady at the time. 

LINK token unlock and its impact on Chainlink price

Chainlink price is currently in an uptrend that started on December 31, 2022. Since then Ethereum-alternative witnessed a steady increase in its price. Based on previous token unlocks it seems unlikely that the recent 6.1 million unlock will negatively influence the asset’s price, despite the rise in circulating supply. 

Interestingly, another key event coincides with the token unlock. Based on data from crypto intelligence tracker Santiment, three large volume transactions took place on the Chainlink blockchain within 11 minutes of each other, where approximately $79.7 million worth of LINK tokens were moved to whale wallets. 

Chainlink whale activity 

Typically, a spike in whale activity influences the asset’s price trend. However the latest increase in transaction volume by large wallet investors had no significant impact on price at press time.