Chainlink: Grayscale & Bitwise scoop 1.4M tokens, yet LINK slips

Institutional demand around Chainlink strengthened as institutions expanded their LINK holdings while broader accumulation absorbed available supply.

Grayscale extended its accumulation activity after its $GLNK ETF received another 203,810  LINK worth $2.38 million from Coinbase Prime. 

Over 18 days, the Grayscale ETF received around 1.05 million LINK, valued at approximately $12.12 million. These persistent purchases reinforced the institutional demand narrative despite LINK’s recent price retracement.

Additionally, Bitwise confirmed the accumulation trend after also purchasing another 163,664 LINK, worth roughly $1.91 million. Also, the institution remained a consistent buyer during the previous two weeks.

The institution’s total holdings hit 3.964 million LINK, with an average acquisition price of roughly $9.96. 

Therefore, this implies that the accumulation extended beyond a single institutional vehicle,  reflecting a broader sustained interest.

Reserve growth adds another demand layer

The Chainlink’s strategic reserve added another 91,100 LINK, valued at roughly $1.06 million. The purchase increased the 30-day accumulation reserve to 511,000 LINK, worth approximately $5.52 million.

The acquisition brought the total reserve holdings to 5.86 million LINK, worth nearly $67.24 million. Therefore, this reserve accumulation provided another source of recurring LINK absorption alongside the institutional purchases.

Furthermore, the ETF activity also strengthened the broader demand outlook. Reportedly, Chainlink ETFs attracted $4.27 million in investor capital during the latest session as of press time.

Subsequently, the weekly ETF inflows hit $5.36 million. The products held around 2.1% of LINK’s supply and have recorded only two lifetime outflow days.

Whales keep demand tilted toward accumulation

The large-holder activity reinforced the institutional trend rather than undermining it during LINK’s recent pullback. 

According to CoinGlass analytics, Chainlink’s Whale versus Retail Delta registered a positive reading around 0.36.

The positive territory suggested that whale activity remained elevated relative to retail participation. This positioning aligned with purchases from Grayscale, Bitwise, and Chainlink’s strategic reserve. 

Combined, the metrics showed that larger players continued absorbing LINK as price corrected after the August impulse run.

Even so, whale dominance alone did not trigger an immediate price rebound. Chainlink still needs to preserve its nearby demand zone before the whale accumulation could translate into stronger upside structure.

Can this KEY support anchor LINK’s next recovery?

On the 24-hour timeframe chart, Chainlink [LINK] stabilized around the $11.50 zone after retreating sharply from its recent swing high around $13.70 resistance. 

Notably, LINK price remained above the significant $11 support level at the time of analysis. However, Chainlink had already lost the ascending trendline that guided its previous price expansion. 

The breakdown increased the importance of the horizontal demand zone immediately below the current price.

Besides, the selling strength also appeared through the RSI indicator, which retreated to 52.64 after previously hitting overbought conditions. Also, its average signal sat higher at 62.00, suggesting weak buying strength during the price correction.

However, the indicator still remained above neutral territory as LINK stabilized around the support zone. 

Successfully holding the $11 support level could encourage buyers to target $13.12 before eventually challenging the $13.70 resistance again.

Final Summary

• Institutional accumulation remained strong while LINK stabilized above its crucial $11 support.

• Holding the $11 support could strengthen LINK’s recovery case despite weakening technical indicator signals.