LINK could endure some bear pain in the days to come thanks to…
Chainlink’s [LINK] tough days do not seem to be coming to an end anytime soon. LINK’s price declined by more than 5% over the last week. According to CoinMarketCap, at the time of writing, LINK was trading at $7.19 with a market capitalization of $3.7 billion.
Realistic or not, here’s LINK market cap in BTC‘s terms
Investors are selling LINK
A Lookonchain’s tweet on 11 April revealed that tokens worth millions of dollars were recently sold. A whale who bought LINK from Binance four months ago transferred 1.2 million LINK, worth $8.88 million, to Binance via seven addresses.
Whales are selling $LINK!
— Lookonchain (@lookonchain) April 11, 2023
In addition to that, another whale who bought LINK from Kraken in December 2021, transferred 1 million LINK worth $7.4 million, to Gate.io through 10 addresses. These sell offs indicate a decreased confidence in LINK among investors.
The immediate effects of the transactions were reflected on LINK’s daily chart as its price declined by nearly 3% in the last 24 hours. A similar trend was also noted on Token Terminal’s graph, which showed a decline in the number of LINK token holders over the past 180 days.
Darker days ahead?
Upon checking LINK’s daily chart, it became pretty evident that the token will have to endure quite a few challenging days ahead, most of the market indicators were bearish. For instance, the MACD displayed a bearish crossover.
LINK’s CMF registered a downtick and was headed further below the neutral zone. The RSI also followed CMF, the indicator was truly in sellers’ favor.
Nonetheless, the EMA ribbons remained bullish as the 20-day EMA was slightly above the 55-day EMA.
How much are 1,10,100 LINKs worth today
Sell pressure is dominant in the market
As per CryptoQuant, Chainlink’s exchange reserve rose at press time, which indicated the arrival of higher selling pressure. This was further proved by LINK’s exchange inflow as it spiked considerably of late.
Santiment’s chart revealed that LINK’s supply on exchanges was also soaring. This was accompanied by a decline in supply outside of exchanges, which is a typical bearish signal.
However, it was interesting to see that despite the price decline, LINK’s weighted sentiment showed signs of recovery by improving marginally.