Chainlink Price Preps A 50% Surge As BlockTower Buys DeFi Tokens

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As a seasoned analyst with over two decades of experience in the financial markets, I have witnessed numerous bull and bear cycles, and the current surge in Chainlink (LINK) price is reminiscent of some of the most exciting periods in crypto history.

Over the past four days, Chainlink’s price climbed steadily and approached a significant resistance point. LINK experienced a spike, reaching $12.97, due to BlockTower Capital purchasing DeFi tokens. Additionally, it gained momentum as reports indicated that inflows were increasing. It has seen a rise of approximately 60% since its low in August.

Chainlink Price Surges Amid BlockTower Purchases

The price of the LINK token surged following a report by LookOnChain, which indicated that BlockTower was amassing well-known DeFi tokens such as Uniswap and AAVE. In their post, they mentioned that these tokens were received from FalconX, Cumberland, Galaxy Digital, and B2C2Group.

Chainlink Price Preps A 50% Surge As BlockTower Buys DeFi Tokens

One of the well-known firms in the cryptocurrency sector is BlockTower Capital. As reported by Arkham, their crypto assets portfolio stands at approximately $446,987. A significant portion of these holdings are composed of digital currencies such as Blur, USD Coin, and Ethereum.

The company’s investment in LINK suggests they are optimistic about the future growth of the Decentralized Finance (DeFi) sector. According to DeFi Llama, the total value locked within DeFi is nearing $100 billion, while the secured value in Chainlink has risen to an impressive $27.7 billion.

The cost of Chainlink increased significantly following a detailed Forbes article that emphasized how various enterprises are utilizing its platform to expand their operations in the age of A and blockchain. The article underscored the function of its oracles, which serve as a means to establish a single, reliable data record concerning corporate activities.

Additionally, LINK leaped following the CEO’s appearance on CNBC, where he discussed how Donald Trump’s deregulation policies might prove highly advantageous for our sector.

LINK Price Could Surge Soon

Experts who analyze cryptocurrencies are hopeful that the price of Chainlink may bounce back, potentially reaching close to its highest point this year, which was $19.8.

On their latest post, Perpetual Trading pointed out that the cryptocurrency exhibited a descending wedge formation in its weekly graph. Typically, such a chart configuration is quite optimistic and often indicates a potential price increase.

Looking at the daily graph, we notice that Chainlink surged and returned to a significant resistance point at approximately $12.97. This level is crucial because it represents the peak of the largest swing in both September and August 2nd. Additionally, it coincides with the upper boundary of an ascending triangle formation.

The price of LINK is nearing the 50% Fibonacci Retracement point, which is around $13.6. Additionally, it has surpassed its 200-day moving average. In simpler terms, the value of LINK is getting close to a significant level based on a mathematical pattern called the Fibonacci Retracement (around $13.6), and it’s also gone above a statistical trend line known as the 200-day moving average.

Chainlink Price Preps A 50% Surge As BlockTower Buys DeFi Tokens

If we see a sharp increase past the resistance level of $13, it suggests potential for further growth towards the 61.8% Fibonacci retracement level at $15. That’s approximately a 15% jump from the present position. Should price action continue and surpass this level, we’ll approach the year-to-date high of $19.20, which is around 50% more than our current position.

If the value of LINK falls below its rising trendline at $12, the optimistic forecast could be rendered ineffective, potentially leading to further price decreases towards $10.

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2024-11-08 15:18