Santiment Reveals Chainlink Building Momentum As Dormant LINK Tokens Massively Leave Exchanges

Chainlink’s uprise is because of LINK leaving exchanges.

Crypto markets analysis tool, Santiment has recently provided an update on ChainLink, pointing out a buying opportunity for retail investors.

The indications reveal how ChainLink has been building momentum since early July, thereby setting up a reasonable buy time of  +41% profit since July 1, as seen in the graph below. The data shows how dormant LINKs experienced a massive move, as coins moved into cold wallets away from exchanges.

?? #Chainlink had several indications that early July was setting up to be an opportune #buy time (+41% since July 1), with a rising triple bottom as a nice signal. Additionally, dormant $LINK saw a big move, and coins have moved into cold wallets since. https://t.co/k8owTq9OSA pic.twitter.com/cJtmLJOnsZ

— Santiment (@santimentfeed) August 8, 2022

Chainlink Price Action Influenced By Supply On Exchange And Dormant Movement

The primary factor for this recent price spike is how LINK supply on exchanges has reduced to a reasonable amount over the past seven days. This signifies that more long-term holders are now buying into the asset, and paper hands are also leaving the market. 

Additionally, Dormant LINK has been experiencing massive movement from the end of June, as seen in the graph.

This has also, Invariably led to an increase in price movement. The LINK price is currently trading at $8.46 with a 24-hour trading volume of $429,323,243, according to data from CoinMarketCap. Notably, ChainLink LINK has been up 9.22% in the last 24 hours, while in the previous 30 days, LINK has climbed from $5.79 to $8.49. 

ChainLink is ranked #23 in CoinMarketCap with a live market cap of $3.97 Billion, slightly below FTX Token at $4.19 Billion.  

Chainlink Move With Ethereum’s Merge

A recent tweet by ChainLinkGod.eth shows how ChainLink will Integrate into the upcoming Ethereum merge set to take place in September this year, 2022. 

The tweet highlighted that The Chainlink protocol would continue to operate on Ethereum during and after the Merge. However, it will not support the Forks of the Ethereum blockchain, including PoW forks. 

The Chainlink protocol will continue to operate on Ethereum during and after the Merge

Forks of the Ethereum blockchain, including PoW forks, will not be supported

This is aligned with the Ethereum community’s decision to upgrade the chain to PoShttps://t.co/Avxafvr7eA

— ChainLinkGod.eth (@ChainLinkGod) August 7, 2022

It goes on to explain why Supporting PoW forks is impossible, pointing out that it will duplicate the LINK token and that the forked PoW tokens are unlikely to have sufficient liquidity required for secure Data Feeds. 

The Crypto Market is barely making recovery moves after BTC bottomed at the $17,000 level a few months ago. While some analysts are still speculating on what the bottom would be for the Top Cryptocurrency

Few altcoins have seen price spikes amid the current uncertainties around the cryptocurrency industry. Some examples are FLOW with a 54% increase, DCR with a 44% increase, and TWT with a 27% increase.