Key Notes

Key Notes:

Technical analysis suggests Chainlink may experience another 30% decline before potentially rallying toward its all-time high, as it maintains a 0.97 correlation with Bitcoin’s price movements.On-chain metrics show whale transactions have plummeted 78% since November, with large holders controlling 67% of supply, suggesting diminished buying pressure despite 59% of holders remaining in profit.Despite price weakness, Chainlink continues expanding fundamentally with 22 recent integrations across multiple blockchains including Arbitrum and Base, cementing its position as the leading network for real-world asset tokenization.

After hitting a local top around $30 in early December 2024, Chainlink LINK $17.81 24h volatility: 3.0% Market cap: $11.36 B Vol. 24h: $413.13 M price has been trapped in a multi-week correction phase. The large-cap utility-based altcoin, with a fully diluted valuation of about $19.2 billion and a 24-hour average trading volume of around $605 million, has been forming lower highs and lower lows, an established characteristic of a falling market.

Since the inauguration of US President Donald Trump, LINK price has dropped more than 29 percent to trade at about $19.22 on Monday, February 17 during the evening New York session. The notable decline of LINK price in the past four weeks is a clear indication that the second inauguration of Trump turned out to be a sell-the-news event, despite being described as the first pro-crypto POTUS.

According to market data analysis from IntoTheBlock, Chainlink price has a 0.97 out of 1 price correlation with Bitcoin. With Bitcoin price signaling further short-term correction to retest the support level around $92k, LINK price will likely continue in the ongoing multi-week correction.

After LINK price formed a potential bearish flag pattern in the past week, crypto analyst Ali Martinez is convinced major volatility is brewing ahead. From a technical analysis standpoint, LINK price is likely to retest the macro-rising logarithmic trendline, which would reciprocate to a 30 percent decline before continuing with the previous rally towards its all-time high.

The Bollinger Bands are squeezing on the #Chainlink $LINK 12-hour chart, signaling that a high-volatility move could be imminent! pic.twitter.com/nP4yjvAnyK

— Ali (@ali_charts) February 17, 2025

According to the on-chain data analysis provided by Santiment, the Chainlink network has experienced a notable slowdown in activities since November 30, 2024. A similar trend has been shown by IntoTheBlock, whereby the number of transactions greater than $100k has dropped from 298 txs to around 66 txs in the past seven days.

The #Chainlink $LINK network has been contracting since November 30, indicating a slowdown in activity! pic.twitter.com/pkfmvnpy7z

— Ali (@ali_charts) February 17, 2025

With 67 percent of the total LINK supply controlled by large holders, a notable decline in whale activity will eventually weigh down on the altcoin’s bullish sentiment. Worth noting that 59 percent of LINK holders are in profit compared to around 35 percent of the total holders counting losses.

The Chainlink network has recorded unparalleled fundamental development in the past few months, backed by institutional investors. On the top list, the Chainlink network has expanded its products to operate on several blockchains including Astar Network, Arbitrum (ARB), Berachain, and Coinbase Global-backed Base, among many others.

The Chainlink core developers have shown relentless commitment to enabling the mainstream adoption of interoperable smart contracts through reliable data oracles. Remarkably, the Chainlink network has recorded more than 22 integrations to its core services in the last few weeks.

Furthermore, the Chainlink network has a myriad of reliable products in the market including Data Feeds, Cross-Chain Interoperability Protocol (CCIP), and Data Streams among others.

As a result, the Chainlink network has grown to be the top blockchain enabling real-world assets (RWA) tokenization closely followed by MANTRA (OM).

Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.

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