Market Turbulence: Chainlink’s Whales Reassess Investment Strategies Following Recent Rejection

Chainlink Whale Sells After $30 Rejection – What’s Next?

A recent surge in the cryptocurrency market has seen Chainlink (LINK) experience a remarkable rally. However, as prices reached the $30 mark, it appears that whales have started selling their holdings. This sudden sell-off pressure could impact LINK’s future trajectory.

Prior to this rejection at $30, LINK saw an influx of whale transactions, indicating significant profit-taking. On-chain metrics revealed a spike in sell pressure from large holders when the rally failed to continue beyond $25. The heightened daily transaction activity was akin to that seen during the second half of 2021.

It’s likely that these whales used the recent price increase as an opportunity to secure profits, particularly after LINK’s “Trump Pump” earlier this month. World Liberty Financial (WLF), affiliated with Donald Trump, invested $1 million in LINK tokens, causing a sudden 21% hike. This brief period of euphoria might have led some long-term holders to cash out.

Following the rejection at $30, it appears that whales are now seeking liquidity pools below the short-term support zones. The liquidation heatmap suggests a steady decline in prices over the past week, with no signs of recovery. If this trend continues, LINK could potentially find itself attracted to the $20 level once more, leading to further downward pressure.

The current sentiment is bearish, and it may take some time for the market to adjust. The likelihood of whales accumulating LINK above $20 seems unlikely, given their recent actions.

Source: ambcrypto.com