Top 3 Factors Chainlink Price Might Rise 45% This August
Chainlink Cost Technical Analysis Signals More Gains
Chainlink price has shown significant growth since its April lows, in line with the performance of Bitcoin and other altcoins. Despite this surge, the bullish chart patterns and robust fundamentals suggest further upside potential. The current trajectory indicates a possible climb to last year’s high of $30.85, reflecting a 45% increase from the current level.
Technical analysis highlights that Chainlink’s bullish momentum is likely to continue in the near term. The daily timeframe chart reveals a double-bottom pattern formation at $10.96 in both April and June, with a neckline at $17.90, which has already been breached. This pattern projects a target price of $25. Moreover, the golden cross pattern formed in July, confirming the breakout. This bullish signal occurred when the 50-day Exponential Moving Average (EMA) crossed above the 200-day EMA on July 23rd and has sustained this position since then.
Whales Continue to Buy LINK Token as Exchange Supplies Decrease
Another significant driver behind the potential surge in Chainlink’s price is the sustained accumulation of the token by large investors. Data indicates a 40% increase in holdings by these whales, amounting to 4.57 million tokens over the past 90 days, valued at nearly $100 million at current prices. Whale acquisitions are often viewed as a positive sign, indicating confidence in the asset’s future price trajectory. Notably, since these large investors began increasing their holdings on June 20, Chainlink’s price has surged by 92%.
LINK Reserves and Strong Partnerships to Boost Chainlink Price
A recent development that could further drive Chainlink’s price is the introduction of its reserve LINK program. This initiative involves directing on-chain revenues and income from business partnerships towards accumulating LINK tokens, creating immediate demand for the asset. Additionally, Chainlink’s strategic collaborations with industry giants such as SWIFT and JPMorgan position it for continued growth. The partnership with SWIFT is particularly significant as it aims to enhance efficiencies in the money transfer sector.
Moreover, the utilization of Chainlink’s CCIP product in real-world asset tokenization activities underscores its value proposition. By facilitating seamless data integration across multiple chains without the need for bridging solutions, Chainlink continues to play a vital role in the blockchain ecosystem.
The current rally in Chainlink’s price is supported by strong technical indicators, including Elliot Wave and double-bottom patterns, as well as the favorable fundamentals in the decentralized finance (DeFi) and Real World Asset (RWA) sectors.
Disclaimer: This article is for informational purposes only and does not constitute financial, investment, or trading advice. The author and individuals mentioned are not liable for any financial losses resulting from actions taken based on the information provided. It is advisable to conduct thorough research before making any financial decisions.
Sam Boolman, ChainIntel’s lead analyst, commented, ‘The confluence of technical strength, whale accumulation, strategic partnerships, and market dynamics positions Chainlink for a potential price surge in the coming weeks. Investors should closely monitor these developments for potential trading opportunities.’
