Chainlink (LINK) has outperformed Bitcoin (BTC) and the general market in terms of year-to-date (YTD) gains, with hopes of extending its valuation for the year.
Top market analyst hitesh.eth recently compared Chainlink and Bitcoin per their Year-to-Date (YTD) gains. While Chainlink has soared by 128% to date, Bitcoin’s YTD growth comes in at 110%.
$LINK is making strides towards $27.$LINK has outperformed #BTC in price performance so far this year.
However, it still lags in terms of wallet profitability. More than 79% of Bitcoin holders are currently in profit, while in the case of $LINK, the profitability ratio is at… pic.twitter.com/UpLQ5XuENh
— hitesh.eth (@hmalviya9) November 7, 2023
Despite the bullish similarities between them, as pointed out by the analyst, Chainlink is still lagging in some areas.
Where Chainlink Needs to “Rev the Throttle”
Chainlink’s growth YTD has outperformed those of its peers in literal terms. However, when placed side by side with Bitcoin, this growth does not necessarily translate to wallet profitability.
According to the accompanying IntoTheBlock chart posted by hitesh.eth, the percentage of Bitcoin holders in profit is 79%, dwarfing the 54.96% of Chainlink.
Address profitability in this regard refers to wallets whose combined portfolio valuation is higher than the purchase price of the tokens. Riding on these dynamics, approximately 366,490 LINK addresses are “In the Money,” with the break-even price pegged at the $12.41 to $13.60 price range.
Chainlink already crossed this price point as LINK, benefiting from the intense whale action. This price uptick has been bolstered by sustained adoption, with 27,152 wallets now holding at least 1000 LINK, as reported earlier by The Crypto Basic.
However, amid the favorable price movements, hitesh.eth believes LINK will face a major supply block in the $16 to $27 range, a level he predicts will also form a major resistance for the token.
Currently, LINK’s trading volume is up 20.21% to $839,855,513, with its price rising 2.73% to $12.89. Should this buying momentum remain and LINK soar toward the upper end of the resistance zone at $27, the analyst is optimistic its profitability ratio will surpass 80%.
Sound Fundamentals Backing LINK
Besides what the technicals show about Chainlink’s potential, the decentralized oracle service provider has rich fundamentals to back its resilience and growth in the long term.
Part of these fundamentals is anticipating the release of the Staking v0.2 upgrade, slated to go live later this year. With plans to introduce “Unbonding Mechanism” and “Liquid Rewards,” among other innovations, Chainlink is setting LINK up for a massive accumulation.
The novel Cross-Chain Interoperability Protocol (CCIP) protocol also marks another ammunition in Chainlink’s arsenal to drive new users and cement its growth projections.
Disclaimer: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic’s opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
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