Despite the prolonged weakness in the crypto market, demand for Chainlink, especially from retailers, has remained steady.
Chainlink’s standard-sized wallets rebounded to the highest level since December 2022. According to Santiment, Chainlink’s wallet holdings of at least 1 LINK surged to 535K wallets.
The current network growth stands out particularly because it occurs amidst extended market weakness. This implies that users have continued to adopt Chainlink even as LINK trades significantly below cycle highs.
Historically, a sustained surge in wallet numbers has indicated network adoption and asset accumulation. During periods of weakness, such a shift has encouraged other users to jump in, thereby boosting asset performance.
Chainlink network holds healthy
In addition to sustained growth in non-micro wallets, Chainlink’s total number of active users and holders has continued to grow.
According to Santiment data, the total number of holders increased through 2026, hitting a YTD high of 879k at press time. This growth signals strong network adoption and accumulation across all market participants.
At the same time, the network’s Active Addresses (30D) have averaged around 570k, a massive jump from 50k in April. This growth signals increased network participation and adoption and suggests that new participants are entering the ecosystem.
Historically, higher wallet counts have been associated with stronger fundamentals and a healthy network, a recipe for stronger market performance.
What about LINK?
Amid continued network growth, LINK also showed a recovery in upward momentum on its price charts. In fact, after breaching $7 and then falling to $6.90, LINK rebounded to a local high of $8.10.
As of this writing, Chainlink [LINK] traded at $7.9, up 1.8% on the daily charts. Before these slight gains, LINK had been on a strong downtrend.
With the recent gains, the altcoin’s Stochastic Momentum Index (SMI) formed a bullish crossover and rose to -32, reflecting a recovery in bullish momentum. This suggests that if the demand holds, the altcoin will see more gains.
To validate the uptrend, the SMA needs a jump above the negative zone. Currently, LINK is testing its short-term moving averages, with a 9-day MA at $8.04.
A successful retest of the MA, followed by a close above it, will confirm a recovery in demand and trend strength, paving the way for further gains. In doing so, LINK will target $8.7 in the short term, with $9 as the medium-term resistance.
However, the SMI remains negative, suggesting bullish pressure is minimal. Therefore, if the momentum fails to hold and retake the market, Chainlink will drop below $7 again.
Final Summary
- The Chainlink network saw wallets holding at least 1 LINK rebound to 2022 highs of 535k.
- LINK showed slight bullish pressure, defending $7 and jumping to $8, although the momentum remains weak.