LINK, the native cryptocurrency of the decentralized oracle network Chainlink, is up 1.2% during Monday’s U.S. market hours. The buying pressure follows the general uptick in the broader crypto market as Bitcoin holds above the $77,000 level. However, the Chainlink price gained additional traction as the number of wallets holding 100k LINK tokens has reached a new high, indicating the increasing conviction of high-network investors.
Chainlink Large-Holder Count Reaches Record High
On May 25th, the crypto market witnessed a low-volatility uptick across most major coins, including Bitcoin, which reclaimed the $77,500 mark. The broader upswing can be attributed to easing geopolitical tensions, as Iranian authorities emphasized that the current negotiations are focused on bringing the ongoing conflict to a close, setting aside any discussion of nuclear capabilities.
There was no immediate prospect of a deal with Washington, officials said, and the agenda doesn’t mention passage through the Strait of Hormuz. They stressed that decisions on controlling this vital channel rest solely with the countries sharing its shores, rejecting external involvement in its oversight.
Therefore, the crypto market witnessed a cautious uptick today, but the Chainlink price seeks a higher rally.
The CoinNewsSpan” target=”_blank” rel=”nofollow noopener”>number of wallets with a balance of 100,000 or more LINK tokens has reached 805, the highest number so far. At current prices, each of these positions carries a dollar value approaching $958,000.
In addition, the number of wallets rose by about 8.2% over the past seven weeks, adding around 61 additional wallets.
This wallet metric measures addresses at the extreme high end of the holding distribution, a group that is more likely to participate in a more measured way than retail traders, and with a much larger capital allocation needed to enter or exit the positions.
Historically, a surge in large-holders count when the price action remains sideways has often signalled a strong accumulation trend in the asset. If the trend continues, the price will witness a significant surge in underlying demand that could boost the next recovery leap.
Chainlink Price Seeks Demand Pressure At Key Channel Pattern
Over the past two weeks, the Chainlink price has witnessed a V-top reversal from $10.87 to its current value of $9.46, projecting a roughly 13% loss. This downswing hits a fresh demand zone at the support trendline of a rising channel pattern at $9.36.
Since early February, the LINK token has witnessed a slow yet steady recovery resonating within the two parallel trendlines of the pattern. Last Saturday, the sellers attempted a breakdown below the pattern’s bottom trendline in the daily chart, but the price rejected a long-trail rejection sharply, indicating the intact demand pressure.
If the support holds, the Chainlink price could rebound nearly 20% and challenge the channel’s upper boundary at $11.3.
On the contrary, a potential breakdown below the bottom trendline will accelerate the market selling pressure and drive a prolonged correction to $7.8. The LINK token is currently positioned below the daily EMAs (20, 50, 100, and 200), indicating the path of least resistance is down.