Chainlink Price Stalls As $287 Million Worth Of LINK Makes Its Way To Binance
February 04 2024 - 6:00PM
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The price performance of Chainlink is one of the previous week’s
biggest narratives, rivaling Bitcoin making its way above
$43,000 again. According to data from CoinGecko, the altcoin
recorded a significant 25% price increase in the last seven days.
However, the price of LINK seems to be slowing down, as it keeps
struggling to hold above the $18 level. While expectations are that
this sluggishness will blow over soon, the question still is – why
is the Chainlink price stalling? 16 Million LINK Tokens Transferred
To Binance The latest on-chain revelation has offered insight into
why the price of LINK is facing some form of bearish pressure. In a
post on X, crypto analytics firm SpotOnChain disclosed that 19
million tokens (worth about $341 million) were recently unlocked
from three of Chainlink’s non-circulating supply contracts. In a
more detailed breakdown, the on-chain analytics firm revealed that
15.95 million tokens (valued at $287 million) were moved to
Binance, the world’s largest centralized exchange. Meanwhile, the
remaining 3.05 million Chainlink (worth $54.3 million) were
transferred to multi-sig wallet, 0xD50f. Related Reading: Why This
Crypto Report Suggests Solana As A Main Focus For The Next Bull
Market According to SpotOnChain, this is not the first time
transactions involving Chainlink’s wallets and of this caliber will
happen. The analytics platform disclosed that Chainlink has been
unlocking and transferring some of the unlocked tokens to Binance
as far back as 2022. On-chain data shows that Chainlink has
unlocked a total of 106 million tokens, with 88.95 million LINK
sent to Binance since August 2022. At an average price of $9.06,
the entire worth of these transactions stands at $805 million.
SpotOnChain noted that the last two unlocks have been followed by a
slight dip in LINK’s price. The last unlock saw the Chainlink token
fall from almost $19 to $17.5 on Saturday, February 3. As of this
writing, the LINK token is valued at $17.86, reflecting a nearly
1.5% price jump in the past day. Chainlink Records Multi-Month High
In Transaction Volume It appears that the price of LINK will not
remain stagnant for very long, as the most recent on-chain data
indicates that Chainlink has experienced a notable increase in
network activity over the last few days. Positive network
fundamentals could be all the altcoin needs to resume its bullish
run. Related Reading: Expert Analysis: Bitcoin ‘Bottom Is Not In’,
Potential $30K Retest On The Horizon According to Ali Martinez, the
network recently witnessed a significant surge in transaction
volume, bringing the metric to its highest in almost two years.
Based on IntoTheBlock’s data, more than 72.24 million LINK tokens
(equivalent to $1.3 billion) were transacted on Friday, February
4. The Chainlink price continues to hover around the $18
level on the daily timeframe | Source: LINKUSDT chart on
TradingView Featured image from iStock, chart from TradingView
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