- Market sentiment around Chainlink remained bearish despite the price uptick.
- A few indicators were bullish on LINK, suggesting a further price pump.
Chainlink [LINK] was among the few cryptos on the top 20 list that managed to register double-digit growth, with its value shooting up sharply in the last 24 hours.
Thus, does LINK have the potential to enter the top 10 club in market capitalization?
Chainlink bulls are getting serious
AMBCrypto had earlier reported how the much-anticipated ETF approval turned out to be bearish for the king of cryptos, Bitcoin [BTC]. However, Chainlink acted differently as its price shot up.
According to CoinMarketCap, LINK was up by more than 18% in the last seven days. In fact, in the last 24 hours alone, LINK was up by over 7%. At the time of writing, LINK was trading at $15.56 with a market cap of over $8.8 billion.
Thanks to the rising price, LINK’s Social Volume spiked on the 13th of January, reflecting its popularity in the crypto space. However, the positive price action failed to turn around market sentiment.
This was the case as its Weighted Sentiment remained in the negative zone, meaning that bearish sentiment around LINK was dominant in the market.
Source: Santiment
More concerning, however, was the fact that while the token’s price pumped, selling pressure on LINK also increased.
AMBCrypto’s look at CryptoQuant’s data revealed that LINK’s Exchange Reserve had increased. Moreover, its Exchange Netflow Total was high compared to the last seven-day average, meaning that investors were selling LINK at press time.
Source: CryptoQuant
LINK to enter the top 10 club?
Since LINK’s price continued to rise despite high selling pressure, AMBCrypto planned to take a closer look at the token’s state to understand whether Chainlink could enter the top 10 list. At press time, LINK was ranked 13th in terms of market cap.
Whalestats’ data pointed out that whale activity around the token was high. LINK ranked 10th on the list of the most purchased crypto among the top 100 ETH whales in the last 24 hours.
Our analysis also revealed a similar story, showing that the number of whale transactions remained relatively high throughout the last week. However, it was surprising to see a flat ‘Supply held by the top addresses’ graph.
Source: Santiment
To understand whether whale activity is enough for LINK to sustain its pump, AMBCrypto took a look at its daily chart.
Read Chainlink’s [LINK] Price Prediction 2024-25
Notably, Chainlink’s Relative Strength Index (RSI) and Money Flow Index (MFI) registered upticks and were resting above the neutral mark. This suggested that the price pump might continue.
However, the Chaikin Money Flow (CMF) looked bearish, as it was below the neutral mark of 0 at the time of the report.
Source: TradingView
