Key Takeaways
- LINK maintains support around $8 following a 7% recovery from its two-year bottom at $6.99
- Active addresses holding a minimum of 1 LINK reached 535,650 — the strongest reading since December 2022
- Monday saw $1.81 million flowing into LINK ETFs, which have experienced zero capital withdrawals since their December debut
- Futures Open Interest climbed more than 4% to reach $373.06 million, though long position liquidations totaling $195,880 reflect cautious sentiment
- Critical resistance barriers are positioned at $8.13–$8.31; clearing these could open a path toward the 50-day EMA at $9.04
Chainlink (LINK) is currently exchanging hands near the $8.00 mark on Tuesday, sustaining a modest rebound after touching a two-year floor of $6.99 last Saturday. This recovery emerged alongside positive signals from blockchain data and institutional capital flows that suggest growing token interest.
The token has struggled to breach the $10 threshold since February, shedding over 60% of its value across six straight months of decline. Yet beneath the surface, certain fundamental indicators are beginning to tell a contrasting story.
According to Santiment’s latest data, the number of wallets containing at least 1 LINK token hit 535,650 on Monday. This figure represents the highest wallet count recorded since December 2022. Notably, this expansion occurred while the asset’s price remained substantially below its previous cycle peaks.
The analytics team at SantimentData highlighted on X: “What makes this particularly significant is that the growth has occurred while $LINK’s price remains well below its cycle highs. Historically, sustained increases in wallet counts are often viewed as a sign of gradual adoption and accumulation.”
While these aren’t whale-sized accounts, the expanding base of smaller holders indicates broader network participation rather than pure speculative activity.
Investment Funds Maintain Steady Accumulation
Exchange Traded Funds centered on LINK registered $1.81 million in fresh capital on Monday, bringing cumulative net assets to $101.21 million. Remarkably, these investment vehicles haven’t recorded a single day of outflows since their December 2 launch.
This consistent institutional buying activity is occurring in parallel with retail wallet expansion, creating a double-layered demand foundation beneath current price action.
Futures Market Signals Mixed Positioning
Open Interest across LINK futures contracts expanded by more than 4% within a 24-hour window, climbing to $373.06 million and indicating increased trader participation. The funding rate simultaneously reversed from -0.0023% to +0.0024%, suggesting a marginal tilt toward optimistic positioning.
Despite this, long positions accounted for $195,880 of the $269,290 in total liquidations during the same timeframe. This pattern reveals that traders positioning for upward movement continue facing challenges as price action remains compressed beneath $8.
A concentrated cluster of leveraged trades exists between $8.00 and $8.10. Breaking through this zone could trigger cascading short liquidations, potentially accelerating any upward price movement.
From a technical perspective, the 50-day EMA stands at $9.04, the 100-day at $9.48, and the 200-day around $10.70 — all positioned significantly above the current trading range. The RSI currently reads 35, recovering from oversold territory, though the MACD continues displaying negative momentum.
Immediate resistance to monitor appears at $8.13, with secondary resistance at $8.31. A confirmed daily close above these thresholds would bring the 50-day EMA into realistic targeting range.
