Chainlink's LINK Gains as Whales Accumulate $188M After October Crypto Crash
The native token of oracle network Chainlink LINK$18.39 climbed to $18.80 on Monday as large holders have been adding significant positions despite the token's struggle to fully recover from October's correction.
The token established a series of higher lows at $18.10 and $18.42, creating a bullish structure, CoinDesk Research's technical analysis model noted. It posted a solid 3% advance over the past 24 hours, outpacing the broader crypto market.
The breakout above the key $18.70 level occurred with a volume spike to 3.07 million. Despite the advance, trading activity runs more than 5% below the seven-day moving average.
With LINK having broken above the $18.70 resistance level that capped previous rallies, the technical picture appears constructive for continued upside. However, the subdued volume profile during the advance creates a divergence that warrants caution.
Meanwhile, LINK whales, or large token holders, withdrew nearly 10 million tokens from crypto exchange Binance since the October 11 crypto crash, well-followed blockchain sleuth Lookonchain noted. That's roughly worth $188 million at current prices, signaling steady accumulation by deep-pocketed investors.
Key Technical Levels Signal Caution for LINK
- Support/Resistance: Strong support established at $18.24 with resistance forming near $18.70-$18.75 range.
- Volume Analysis: 24-hour volume declined 5.55% below weekly averages despite price advance, suggesting limited institutional participation.
- Chart Patterns: Ascending channel structure intact since mid-2023 with recent bounce from lower boundary support.
- Targets & Risk/Reward: Immediate upside targets at $20.04 resistance level, with downside risk toward $18.10 support if momentum fails to sustain.
