Signs of life? LINK’s dormant addresses could have this role to play now

LINK, the native token of the leading oracle network, Chainlink, has seen tremendous growth since the beginning of July. In fact, according to Santiment, the altcoin’s price has rallied by over 41% since 1 July.

Since the end of June, the total percentage of the circulating supply of LINK in known exchanges has declined. Such decline is usually a precursor to growth in the price of a crypto-asset. Moreover, previously dormant addresses holding LINK have shown signs of activity since the beginning of July. Hence, the significant price action since.

What else do we know about the token’s performance over the last month?

LINK has failed to sink

At the beginning of the bull rally in July, LINK was trading at $6.07. At press time, still, on an uptrend, the token exchanged hands at $8.45. As the alt’s price rose, its trading activity also intensified. LINK’s trading volume was pegged at 423.76 million, at press time, growing by 5% in the last 38 days. Worthy of mention is the 1.07 billion logged-in trading volume by LINK on 29 July. 

At the same time, the crypto was spotted with an 11% hike in price over the last 24 hours. Also, trading activity was up by 73.49% within the same period. 

On the daily chart, a significant accumulation of LINK was underway. As a result, the Relative Strength Index, at 67, was making its way into the overbought region. Similarly, the Money Flow Index was seen on an uptrend at 72.

With the 50 EMA positioned under the price candles, the bullish trend will continue for a while. 

Source: TradingView

Smiling at the bank

Many LINK holders have been in profit over the past 30 days, data from Santiment revealed. The token’s 30-day MVRV hiked to +21.59%. Some long-term holders have also had cause to smile as the 365-day MVRV shared a figure of +3.7%.

Source: Santiment

Despite the recent activity of previously dormant tokens last month, daily active addresses that traded LINK declined steadily. At 859 addresses at press time, daily active addresses on the network declined by 86% since 1 July.

Also, new addresses created on the network also dropped by 65% over the same period.

Source: Santiment

Finally, according to its latest ‘Adoption Update’ between 1 and 7 August, Chainlink logged 14 integrations of four of its services Chainlink Proof of Reserve, Chainlink Keepers, Chainlink VRF, and Chainlink Price Feeds –  across six different chains. These include Avalanche, BNBChain, Ethereum, Metis, Polygon, and Solana.