Chainlink’s graph looks promising, a rally is coming?

-

Chainlink’s growing development activity, strong narrative around tokenization, and favorable technical indicators suggest that LINK is maybe ready for a jump.

Tokenization it’s not just a buzzword anymore

Chainlink became a more popular project in the crypto world this year, largely due to excitement about tokenizing real-world assets, as this process can help illiquid assets, such as real estate, become more liquid and easier to trade.

Chainlink’s oracle services are maybe the most important for this tokenization because they provide trustworthy data feeds between the actual assets and decentralized applications.

This trend toward tokenization gained more traction in the past years, boosting LINK’s appeal in the market.

Chainlink founder Sergey Nazarov shared his belief that asset tokenization will eventually revolutionize the Web3 industry.

He predicted that the value of tokenized real-world assets could surpass that of cryptocurrencies in the coming years as traditional finance begins to invest more heavily in this area.

Nazarov’s optimistic outlook was echoed by Chainlink, which anticipates huge growth in tokenized assets driven by institutional adoption and hopefully supportive regulatory changes.

Development activity

Chainlink is in the good spot to take advantage of this potential shift thanks to its cross-chain interoperability protocol, which became widely available in April.

This open-source communication standard allows developers to create secure applications that can transfer tokens and messages across different blockchain networks.

Chainlink experienced the second-highest level of development activity among blockchain projects in the last month, and this suggests a growing network and a positive outlook for its long-term potential.

The Chainlink non-circulating supply wallet unlocked 18.125 million LINK tokens that were deposited into Binance.

This was the ninth unlock event, and on-chain monitoring tool Lookonchain noted that seven of these unlocks were followed by price increases about a month later.

Technical analysis of LINK/USD chart, what’s next?

LINK now is trading at an important price point of $12.50 in the time of writing, which is down 18% since the beginning of the year and more than 76% below its peak in May 2021.

Over the past week, LINK has been trading above a long-term falling channel after breaking out on last week.

The immediate support level for LINK/USD is at $8.09, while long-term support stands at $5.68.

The MACD indicator on the daily chart signals bullish momentum, because it crossed above the signal line on September 10.

This also supports the idea that upside movement is gaining strength.

Have you read it yet? Dogecoin founder declared he created the internet

LATEST POSTS

Bitcoin’s vanishing act will locking over the quarter of the Bitcoin supply?

Bitcoin is pulling a full Houdini act. According to fresh-eye research from Fidelity Digital Assets, a cool 28% of all Bitcoin, that’s over six million...

Tom Lee predicts a monster move for Bitcoin and Ether in Q4, please, we’d love that

Tom Lee is shouting from the Crypto Mount Olympus. The Fundstrat co-founder and BitMine chairman just laid down a prophecy on CNBC that Bitcoin and...

MetaMask throws its hat into the stablecoin ring with mUSD

Imagine your trusty crypto wallet suddenly hands you a shiny, new stablecoin called mUSD. MetaMask just did that with its very own dollar-pegged champion stepping...

ARK Invest’s Fresh Bullish Buy Pushes Stake to $129M

ARK Invest bought 161,183 Bullish (BLSH) shares on Tuesday for about $8.21M across ARKK and ARKW. The firm’s combined Bullish holdings across ARKK, ARKW, and ARKF...

Most Popular

Guest posts