Whales bought 1.3 million #LINK🔥🔥🔥 despite the market drop.
LINK prices rose on Tuesday due to market optimism ahead of Trump's inauguration.
However, Chainlink's on-chain transaction data shows that whale investors were buying $LINK tokens during last week's market drop.
The Santiment figure below shows the balances of the top 1,000 Chainlink wallets.
The chart shows that the top 1,000 wallets of #Chainlink held 680.3 million LINK on Monday, compared to 679 million on January 8.
LINK tokens fell 24% during this time, while whales paid $26 million to purchase 1.3 million of them.
The large-scale accumulation of whales during a market downturn suggests that the wealthiest investors in the network see the cryptocurrency market drop as temporary.
Additionally, the large accumulation by whales during a sell-off absorbs the excess supply, providing conditions for a price breakout once sentiment changes.
The $26 million LINK holdings of whales last week partly explain why the price of Chainlink outperformed XRP and Dogecoin when the cryptocurrency market rose on Tuesday.
Chainlink price forecast: a close of $21.5 could trigger a breakout to $25.
LINK is at $20.28, a 4.86% increase in the last session.
A significant 13-bar correction and the likelihood of reversal versus continuation are shown in the chart, revealing LINK's future movement.
The bullish sentiment is driven by whale accumulation of $26 million.
LINK fell 24.05% in a 13-bar drop over seven days, indicating strong selling pressure and insecurity from investors.
The rapid rebound, including a positive turn around $20.36, suggests that buyers are taking control.
The 81.43% continuation probability suggests that LINK will continue to rise.
Momentum supports an advance if LINK closes above $21.50, the next major hurdle.
Negatively, the correction may continue to impact LINK's price. A failure to hold above $20.36 could send LINK back to $20.08 or $19.76, indicating negative sentiment.
With green candle volume increasing to 8.15 million, market interest appears to be supporting the rebound, indicating that buyers have the upper hand.
LINK could spike to $25 if it breaks $21.50, reigniting bullish optimism.#LINK🔥🔥🔥 #BTC #etereum #Colombia #peru $BTC