- LINK has surged by 12.9% in 24 hours.
- Chainlink outflows have surpassed $120 million, signaling ongoing accumulation.
Since hitting $27 three months ago, Chainlink [LINK] has struggled with low demand, with prices declining significantly. However, over the past 30 days, fortunes have turned as buyers return to the market.
Source: IntoTheBlock
According to IntoTheBlock, LINK has seen consistent outflows from exchanges over the past month, hinting at ongoing accumulation. Net outflows have surpassed $120 million worth of LINK in the last 30 days.
Such a spike in outflows indicates growing demand for the altcoin, with investors aggressively buying.
Source: Cryptoquant
The growing accumulation is further evidenced by Chainlink’s Exchange Netflow, which has remained negative over the past 12 days.
With netflow holding within negative for a sustained period, it suggests that investors are strongly bullish and those accumulating have a total grip on the market.
Source: IntoTheBlock
The accumulation trend is even more prevalent among whales. In fact, large holders’ netflow has spiked to hit a 2-month high of 3.81 million link tokens. Such a surge suggests that whales are strongly back in the market.
With whales’ netflow and exchange netflow signaling accumulation, it suggests that all market participants are bullish and expect prices to rise even.
Source: CryptoQuant
Besides capital flows, Chainlink is also seeing its fundamentals strengthen. As such, the altcoin’s active addresses are rising, surging from 2.3k to 3.6k, marking a 1.3k increase over the past four days.
When active addresses start to rise, it suggests that the network is seeing significant interest, which often leads to bullish bias.
What next for LINK?
Chainlink was experiencing strong upward momentum amidst rising bullish sentiments. As of this writing, the altcoin was trading at $14.95 after a 12.05% increase on daily charts. On weekly charts, the altcoin rose by 22.38.
After this price pump, Chainlink has made a breakout from a descending triangle after trading under this pattern over the past two months. After the breakout, LINK faced the next significant resistance level around $16.12.
However, the price pump also means that most investors who have been sitting on realized losses are back to profitability.
If these holders decide to take profit as they capitalize on the recent uptick, the altcoin will pull back to $13.7.
