Whales Accumulate as Market Sentiment Shifts
Chainlink (LINK) is showing promising signs of recovery after a recent market-wide sell-off. Bitcoin’s sharp decline triggered panic among investors, leading to a significant drop in altcoins, including LINK. However, as Bitcoin stabilizes, optimism is returning to the market.
Whale activity has surged over the past 24 hours, with large holders accumulating more than 1.1 million LINK. This buying spree highlights renewed confidence among institutional investors and high-net-worth individuals. Historically, such accumulation often precedes significant price movements, indicating that LINK may be gearing up for a bullish run.
MVRV Ratio Hints at Potential Upside
Chainlink’s Market Value to Realized Value (MVRV) ratio currently stands at -16.3%. This metric has proven to be a reliable indicator of potential price rebounds. In past instances, when the MVRV ratio dropped below -16%, LINK experienced notable surges of 312%, 64%, 61%, 25%, and 52%. If history repeats itself, the current ratio suggests that Chainlink could be on the verge of another significant price increase.
Key Levels to Watch: Support and Resistance
At the time of writing, LINK is trading at $18.01 with a 24-hour trading volume of $843.16 million and a market cap of $11.49 billion. The key support level sits at $15.50, a critical zone that has held strong in past downturns. On the upside, resistance levels to monitor are $19 and $23.70. A decisive break above these thresholds could trigger further buying pressure and fuel a stronger rally.
What Lies Ahead for LINK?
With Bitcoin stabilizing and whale accumulation intensifying, Chainlink’s outlook appears increasingly positive. The combination of on-chain metrics and market sentiment suggests that LINK could soon regain upward momentum. Investors should keep a close eye on the $19 resistance level, as a breakthrough could pave the way for further gains.
If historical trends hold, Chainlink’s recovery might just be getting started.
