Bitwise Seeks Spot Chainlink ETF as Volume Hits 3-Month High

Key Insights:

• Bitwise just filed for a spot Chainlink ETF as LINK advances Japan’s digital asset adoption.
• Chainlink just recorded its highest token trading volume in the past 90 days.
• LINK is looking technically strong on both the weekly and monthly timeframes. The price of Chainlink tapped the $28 level and is now pulling back slightly, trading around $24.

Institutions pushed the Securities and Exchange Commission (SEC) to approve their ETFs. On August 26th, Bitwise and Canary filed for another two spot ETFs as they anticipate major market reactions in September.

The two firms have been integral in filing for spot ETFs. Recently, there has been a spike in the inclusion of staking in the issuance of ETFs. Still, this feature has yet to get a green light from the SEC.

Chainlink has been among the top performers in the last three months. With this, the LINK price has surged more than 2x in this period. More adoption and exposure were other additions to its current sentiment.

Chainlink ETF And Japan’s Digital Adoption

Bitwise filed for a Chainlink ETF with Bloomberg ETF expert Eric Balchunas. On the other hand, Canary filed for a Trump coin ETF. Bitwise filing becomes the first ETF of its type for the altcoin to boost the oracle’s publicity.

Balchunas, however, noted that Tuttle had done a 2x Chainlink ETF under the 40 Act. Long-time crypto users were puzzled by the delay in the filing. They said that other tokens with lower adoption were approved earlier. Many felt LINK was unfairly front-run.

The SEC’s approval is likely to spark increased blockchain activity. Investors may rush to acquire the token, expecting long-term gains. The same was seen in Bitcoin (BTC) and Ethereum (ETH) spot ETFs.

Moreover, Chainlink is increasing virtual adoption in Asia through its partnership with SBI. Specifically, they enhanced Japan’s trust in stablecoins and tokenized assets through their cross-chain interoperability protocol.

Institutions were using the blockchain to tokenize their assets and streamline operations. Zach Rynes mentioned on X that Chainlink reps were expected at Sibos 2025. It’s Swift’s premier annual event for the global financial industry.

Swift and JPMorgan, among others, were just a few major financial institutions exploring blockchain to transfer money globally. Swift Community CIO, Tom Zschach, reiterated the rising adoption of crypto.

Tom said, “I think it’s clear we are going to live in a multi-chain world.” The statement supported the Chainlink connecting banks to the blockchain through their oracle.

LINK’s Monthly Trading Volume and Open Interest

LINK price has recently surged in performance, echoing Ethereum’s upward momentum. As a result, its 24-hour trading volume spiked significantly, up over 40%, reaching over $2 Billion.

Over the last three months, its token trading volume has surpassed $70 Billion. The average monthly volume has been higher than the previous one since June. August was the biggest, almost $20 Billion in magnitude, with a few days to go.

Meanwhile, the open interest has maintained a clear uptrend since August. The OI rise in the last 24 hours reflected the reaction to Bitwise filing for the Spot Chainlink ETF. Still, the implications could extend to its price action.

Implications of ETF on Chainlink Price

Since 2020, LINK price action has been confined in an ascending triangle pattern on the monthly and weekly timeframes. The current setup showed a clear bull strength with price attempting to blast through the limiting resistance.

Early this year, the Chainlink price dropped to $8, but now trades above $25. This represented a 200% price change, with the ETF hype expected to push these gains higher.

Alternatively, the ETF filing was not enough to sustain an upward push. Instead, it was another influence. If the SEC officially cuts rates, the gains could be amplified.

However, if they fail, Chainlink could wipe out all its gains. The sentiment for the broader crypto market was bullish on the day.

Disclaimer

This article is for informational purposes only and provides no financial, investment, or other advice. The author or any people mentioned in this article are not responsible for any financial loss that may occur from investing in or trading. Please do your research before making any financial decisions.