Chainlink Whales Accumulating Despite Consolidations, Will Prices Rally?

Whales have amassed more than 13 million LINK in a week despite the Chainlink price consolidating. The data shows sharp growth in wallet balances in the range of 100,000 to 1,000,000 LINK.

This is among the biggest accumulation events of the week since mid-August. Mid-August saw Whale Holdings hit an all-time high of approximately 185 million LINK.

This is an indication of new whale interest despite the markets consolidating. This accumulation phase typically leads to an upward momentum. However, this should only occur if it is sustained across multiple sessions.

Chainlink Price Consolidates Around Key Support Levels

Examining additional chart data, Chainlink’s price movements indicate that it has been trading within a tight price structure. 4-hour Chainlink price charts show that LINK is in a symmetrical consolidation area.

The Chainlink price has been fluctuating between $17.20 and $18.50. However, the lower peaks indicate a cautious mood among the short-term traders.

Analyst Crypto Tony highlights the most important zone as the $17.00 support level. According to him, a solid bounce might be an indicator of a higher low formation. The move may serve as a sign of a power reversal in the short term.

The 20-day Exponential Moving Average (EMA) is currently moving around the price of $17.40. The move serves as an intraday pivot point around which the price is responding.

If LINK falls below this level, the next significant demand area is around the 16.00 mark. The zone aligns with the primary daily support that is quoted in various analyst publications.

On the positive side, resistance remains strong at around the $20.00 level. The zone has limited some of the rallies since the end of September.

The market data further validates this range-bound structure. The daily volume of LINK has declined by almost 11% over the past 24 hours. This indicates that there is less speculative activity. Speculative activity means a move towards accumulation.

Chainlink Price Movement Tracking Bitcoin’s Sentiment

According to a report compiled by Crypto WZRD, LINK has experienced a recent decline in value. The move is a reflection of Bitcoin’s correction. Both the LINK/USD and LINK/BTC pairs closed bearishly after a robust surge the previous day.

The analyst observed that even after this pullback, Chainlink has a bigger bullish setup. This means there could be a breakout after the Bitcoin price stabilizes.

The daily chart indicates that LINK is respecting a downward trendline from the August peak of approximately 22.70. The peak had been acting as a ceiling after several retests.

Any breakout above this confirmed descending resistance may lead to a move to $20.00. The following structural point will be at 23.00.

The analyst also identified the main daily support target as $16.00 and the key resistance level as $20.00. The immediate market mood is highly dependent on the price trend of Bitcoin.

As BTC recovers and sustains movement above $110,000, it would translate into a fresh rise in the Chainlink price. These factors could see the Chainlink price revisit its previous highs.