Chainlink (LINK) has captured the market’s attention as it surges past its 200-day moving average, breaking the $12.80 resistance and trading at $13.30. This price movement comes as major whales have been quietly accumulating the token over the past two months, adding more than 15 million LINK tokens—worth approximately $165 million. This growing confidence from institutional investors and large holders signals a potentially significant shift for Chainlink’s price trajectory.

Over the last two months, whale activity has been a key factor in LINK’s price performance. Despite market fluctuations, these large holders have continued to buy, displaying a long-term bullish outlook on Chainlink. The accumulation comes after a 50% price surge, followed by a 15% retracement in just 10 days, reflecting the market’s volatile nature. Still, these whales have maintained their buying pressure, a pattern that tends to be a precursor to sustained upward momentum.

With LINK now trading above the critical 200-day moving average of $12.80, technical analysts are optimistic about its potential for further gains. This moving average is widely seen as an important indicator for long-term market trends, and breaking above it could signal that the market is preparing for a more substantial bullish move.

Supporting this view, futures traders are also showing signs of increased optimism. Data from Coinglass reveals that long positions outnumber short positions, with traders opening $30.84 million in long bets compared to $26 million in shorts. This sentiment is further validated by the 5% increase in trading volume over the past 24 hours, according to Coingecko, which points to heightened market participation.

The technical picture for LINK looks promising, with a breakout from a descending triangle pattern suggesting a potential reversal in the token’s price action. Analysts have identified an upside target of $25.30, a price level that would represent an 87% increase from current levels. However, there are a few hurdles to clear before reaching that target, with immediate resistance seen at $15.34, followed by a key zone at $22.87.

Support levels are also being closely monitored, with the first notable one at $13.06 and additional levels at $12.46 and $11.86. These levels could serve as potential areas of price consolidation or retracement, depending on the broader market conditions.

The steady accumulation by whales over the last two months highlights their belief in the long-term potential of Chainlink. This methodical buildup, rather than reactive buying, is an indicator of the reduced supply in circulation, which could lead to price increases as demand grows. The recent breakout from a period of consolidation, coupled with increased whale activity, suggests that Chainlink might be on the verge of a major price rally.

While short-term volatility remains a factor, the overall market sentiment surrounding Chainlink points to an optimistic outlook. If the price continues to hold above key support levels and momentum builds, LINK could see significant upward movement in the coming weeks.