- Santiment reports significant surge in Chainlink’s GitHub development activity.
- Prominent investors hold largest number of Chainlink coins since December.
- LINK’s price may experience a potential breakout, with a bullish trend possible.
Santiment, the esteemed blockchain intelligence firm, visited Twitter today to disclose a significant surge in GitHub development activity about Chainlink (LINK) during the summer. This heightened level of development activity coincides with a noteworthy observation that addresses belonging to prominent investors, colloquially known as whales and sharks, who possess a substantial quantity of 100k – 10 million LINK tokens, and now hold the largest number of coins since December of the previous year.
As per the post above, the surge in development endeavors has propelled the cryptocurrency to secure a position among the top 5 assets exhibiting the highest levels of development activity in the preceding 30-day period. Additionally, prominent investors and entities within the LINK ecosystem have amassed $192.2 million worth of LINK tokens during the preceding month.
At the time of reporting, CoinMarketCap revealed that LINK experienced a 0.61% decline within 24 hours. As a result, the altcoin was being traded at $7.16. This unfavorable daily performance caused the cryptocurrency’s price to drop even further, reaching a negative zone of -5.83%.
Based on technical analysis, there is a potential for a price breakout in LINK within the next few days. This is indicated by forming a symmetrical triangle pattern on LINK’s daily chart. If this breakout occurs in an upward direction, it could result in a price increase to $8.40 over the next two weeks. Conversely, a downward breakout may cause LINK to decline to $6.127.
A strong indication of a bullish trend will occur once LINK’s price surpasses the 9-day and 20-day Exponential Moving Average (EMA) lines, currently priced around $7.31. This breakthrough will also establish the previous resistance level at $7.280 as a new support level. Sustained buying pressure at this stage may further propel LINK’s price to overcome the subsequent resistance at $7.731, potentially paving the way for a climb towards $8.40.
Alternatively, a bearish confirmation would occur if LINK’s price breaches the 50-day EMA line, currently at approximately $6.981. After this technical breach, LINK could descend towards the support level of $6.680. If selling pressure persists, the altcoin’s price may decline to above $6.127.
One technical indicator indicates a high probability of the bearish scenario unfolding. The 9-day EMA line is attempting to cross below the 20-day EMA line, which would signal a bearish trend for LINK’s price in the short term. If this crossover occurs, the price of LINK may experience a further decline in the upcoming week.
Disclaimer: The insights, perspectives, and data presented in this price analysis are published in good faith. Readers must conduct their own research due diligence. Any decision made by the reader is solely their responsibility, and Crypto Outlooks shall not be held responsible for any consequential or incidental harm or loss.
