Chainlink Gives A Multi-Year Breakout Shooting Past $7.5, LINK Price Rally to Continue

Oracle service provider Chainlink has been an outperformer despite the strong selling pressure in the altcoin space. In the last 24 hours, the Chainlink (LINK) price has rallied by another 5% giving a multi-year breakout on the technical chart and moving past $7.5

This means that the LINK price rally could continue going further. Over the last week, the Chainlink price is up by 10% and it has grown to more than 25% over the last month.

Popular crypto analyst Michael van de Poppe noted: “Chainlink is probably done with its accumulation and will start its bull cycle in Q4 2023. Very similar to the rest of the markets, which are starting to wake up. It’s just a matter of time until people start to shift sentiment”.

As reported earlier this week, the Chainlink address activity has shot up to a two-month high. Additionally, this surge signifies heightened network activity and participation, demonstrating the growing enthusiasm and engagement within the community. Furthermore, the rise in unique active addresses frequently correlates with greater utilization and acceptance of the network’s native token, LINK. This is evident in the recent appreciation of LINK’s market value over the past week.

Chainlink (LINK) Price Target

LINK is currently trading above both the 50-day and 200-day price averages, signifying robust bullish momentum in the market. Should the current buying fervor persist, there’s potential for LINK to reach its yearly peak of $8.898, achieved on November 7, 2022. Moreover, if buying momentum continues to escalate, there’s the possibility of LINK establishing a fresh all-time high in the days ahead.

Also, the selling pressure on Chainlink is reduced as the exchange supply decreases. The remarkable surge in LINK’s price corresponds with a sharp decrease in its supply on centralized exchanges (CEXs). According to Santiment data, Chainlink’s supply has dropped by 16.4% over the past ten days. Typically, a reduced token supply diminishes selling pressure, bolstering a positive outlook.

Santiment also noted that Chainlink tokens have been moved from exchanges to cold wallets, effectively taking them out of circulation. This development supports a bullish scenario for the digital coin.