Big Investors Begin to Divert Capital Flows to Chainlink (LINK)

With a 30% gain, Chainlink (LINK) emerged as one of the top gainers in September in the top 20 crypto rankings.

Successful tokenization trials with SWIFT, as well as the explosion in popularity in the Real World Asset (RWA) sector seem to be the main factors in LINK's recent rise. Additionally, on-chain data shows that crypto whales have been paying close attention to LINK.

As proof, the IntoTheBlock graph below highlights the increase in Whale Transactions from 30 transactions to 218 transactions during the period September 17 – October 2.

Notably, the 218 whale transactions recorded on October 2 were the highest recorded since July 24, 2023

As the name suggests, large transactions or Large Transactions are the amount of total confirmed daily trades that exceed US$100,000.

For several reasons, a persistent increase in whale activity like this usually signals a bullish signal for asset prices. This increases market liquidity, allowing spot market participants to execute their trades efficiently.

However, more importantly, when crypto whales make purchases, it encourages other strategic retail investors to maintain a positive outlook.

If the whale Chainlink continues to maintain this level of trading activity, the recent retracement below US$8 could recover soon. If these predictions are correct, LINK holders can expect similar gains in October, as they made last month.