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Chainlink (LINK) Hit a New All-Time High in Daily Active Addresses Despite Dave Portnoy Selling Tokens

Just last week, Chainlink’s price reached a new all-time high of $20, after continuous weeks of breaking records. However, Chainlink (LINK) witnessed a strong correction after approaching $20, falling to a low of $14 amid a flash crash.

According to blockchain analytics firm Santiment, LINK hit an all-time high yesterday in daily active addresses even during an altcoin slump. Chainlink’s price plunged to $13.49 and is now back up at $15.63 at press time.

The firm also warned that a lot of altcoin market capitalizations have shrunk on Friday, and many altcoins “looked overinflated.”

A week ago, Dave Portnoy, founder of Barstool Sports decided to invest in cryptocurrencies including Bitcoin (BTC) and Chainlink, after a discussion with the Winklevoss twins. Tyler and Cameron Winklevoss, the founders of the Gemini exchange said that Bitcoin was a safer asset than gold, as Elon Musk is planning to mine asteroids in the future.

Since Bitcoin has a fixed supply, and Elon Musk’s plan to mine gold from asteroids could potentially increase gold’s supply, Bitcoin’s value as an asset would increase due to its scarcity in comparison with gold, according to the Winklevoss twins.

Portnoy revealed that he invested $200,00 in Bitcoin and $50,000 in Chainlink, however, the altcoin saw a 30 percent decline amid a market correction, resulting in a loss that triggered his new announcement. He tweeted that he could be done with cryptocurrencies for good:

“I currently own zero bitcoins. I will wait and watch. I lost 25k. Just like with the stock market it took my brain time to figure it out. I know this. The Link Marines are weak and the orchid flowers do die in the crypto world. I may or may not be done.”

LINK suffered a 30 percent dump since Portnoy announced his bullishness for the token, saying “LINK to the moon.”

According to Portnoy, he decided that the cryptocurrency market may not be worth it as he makes “6 figures every day” in the real stock market, and “losing of any kind is unacceptable.” He added, “Six figure days or bust.”

On-chain data showed that Chainlink’s slump will be followed by a bullish trend reversal, and the LINK community believes that LINK whales have increased their balances, and will continue to purchase more LINK. If Chainlink sees a bullish trend reversal, perhaps Dave Portnoy should have HODL-ed.

LINE Messaging App Launches Digital Asset Wallet and Blockchain Platform to Run Dapps and Tokens

LINE communications app recently launched a new blockchain digital wallet that can be used to manage various crypto assets.

LINE Crypto ‘LINK (LN)’ now Has a Wallet

The digital wallet, dubbed BITMAX, can be used to combine digital tokens coming from different blockchain services into one coin wallet. On top of the new addition, LINE messaging app also released a new blockchain development platform for LINE Blockchain Developers to run tokenized assets, decentralized apps (dApps), and more on the network. The newly offered BITMAX wallet feature on LINE is solely available in Japan, where the communications app is most famous.

It is not the first time that LINE has leveraged blockchain for its benefits. Back in 2018, the company’s crypto and blockchain businesses were already set in place and were managed by LVC Corporation and LINE TECH PLUS PTE. The company had issued its own cryptocurrency token, dubbed LINK (LN) and the digital asset can be used for trading purposes with other major cryptos, such as Bitcoin (BTC) and Ether (ETH). The team in charge of furthering LINK crypto economy is the LINE Blockchain Lab, which was put in place in April 2018.

Furthermore, LINE company is currently in the process of developing its own proprietary blockchain LINE.

Blockchain Development Platform by LINE

As for the new blockchain development platform put in place by LINE to support its own blockchain developers, the main features that can be found on the platform is “RESTful API,” leveraged to easily link services to a blockchain without a smart contract protocol. Furthermore, the blockchain development platform is a fully managed blockchain-fueled network, and the platform can be used to create a “unique token economy.”

Services that issue tokens through the platform can be linked to the ‘BITMAX Wallet.’ In addition to the issuance of crypto tokens, the digital asset wallet can be used in conjunction with established LINE IDs from a user’s contact list. Anyone with a LINE ID can easily send and receive cryptocurrency with LINK friends, making digital transactions highly efficient.

LINE company is one of the few messaging apps that have investigated blockchain alternatives to power its application and enhance its online presence with a decentralized ledger technology. Not only has LINE successfully leveraged blockchain to further its digital growth, but it has also managed to create a native token and progressively gain popularity among online users, boasting of more than 84 million users at the time of writing.

Chainlink Price Could be Trading at Under $0.01 if This Happens—Is LINK Overvalued?

Amid the recent cryptocurrency market crash, Chainlink managed to keep its head above water, even rising slightly, rebounding from $10 to $13 a few days ago. Since then, Chainlink’s (LINK) price has consolidated to $12.28 at press time, according to CoinGecko. Although Chainlink’s price has seen a considerable recovery, analysts have not been very bullish on the altcoin.

Chainlink has had an incredible year

Chainlink has managed to hit multiple price discoveries this year, with the support of the surging popularity of the decentralized finance (DeFi) industry. Chainlink’s reached its all-time high this year, at $20, which defied investor expectations as it became the fifth-largest cryptocurrency by market capitalization, flippening Bitcoin Cash (BCH). Chainlink currently has a market capitalization of $4.7 million.

Weiss Ratings recently concluded that Chainlink plays an important role and is an integral part of the DeFi revolution. The firm added that there is no “crypto revolution” without DeFi and that DeFi would not be able to succeed without LINK. Chainlink’s price oracles enable the majority of the DeFi protocols, including Aave (LEND), Synthetic Network (SNX), Kyber Network (KNC), Loopring (LRC), Ampleforth (AMPL), and Bancor (BNT). With the incredible gains Chainlink has seen this year, Weiss Ratings predicted that LINK’s peak value was near, before Chainlink reached its all-time high.

Is Chainlink overvalued?

Cryptocurrency fund Zeus Capital has expected Chainlink to plunge exponentially after LINK reached its all-time high. As previously reported by Blockchain.News, Chainlink’s price crash in mid-August was said to be due to LINK developer dumping tokens. Chainlink developers sold $40 million worth of LINK according to the blockchain analysis. Chainlink developers have been moving 500,000 LINK every week, either to Binance or to OTC, back to Binance. LINK whales could have been moving out of the network, after making massive profits.

LINK whales, Chainlink addresses that hold 100,000 to 10 million LINK has been on a steady decline since the start of August, according to Santiment’s LINK holder distribution chart. Currently, 70 percent of LINK’s supply is held by 9 crypto whales, which has been highlighted by the crypto community. A recent post highlighted that this was also the case with Bitconnect, PlusToken, and Onecoin, which have been scam coined as scams in the past. With the majority amount of LINK held by just 9 whales, many in the crypto community have warned that LINK could be a bubble.

To further understand the power that these 9 whales have, Chainlink could crash by over 99 percent if these whales dump the token. Chainlink could be trading at under $0.01 if this happens.

Chainlink accumulates 270 integrations

Chainlink has had 22 new integrations in August and has been steadily accumulating new integrations, which takes it to 270 integrations as of Sept. 11, 2020. Chainlink has announced 9 integrations so far in September.

Uniswap (UNI) Momentum Fades, Chainlink (LINK) Faces Correction as Selling Pressure Takes Over

The launch of Uniswap’s UNI token, its own governance token has created massive hype as users flocked to claim the token, skyrocketing Ethereum transaction fees. Within 24 hours of the launch of the Uniswap token, it became one of the top 10 DeFi tokens on CoinGecko. The UNI token currently ranks the seventh.

The UNI token reached its all-time high of $8.50 before shortly facing a correction, which led to the cryptocurrency’s price plunge to $3.93, as of press time. The UNI token has dipped 17.2 percent in the past 24 hours.

Uniswap’s movement comes in tandem with the rest of the cryptocurrency market, as Bitcoin has plunged to the $10,460 levels, and most of the crypto market is in the red territory today. Ethereum’s price also crashed, taking Ether to the $330 level as most of the market is facing selling pressure.

As the whole cryptocurrency market has been weakening, UNI’s price will not likely gain momentum anytime soon. Uniswap’s UNI has a total initial supply of 1 billion, while 150 million was made available for users, in its ecosystem, including liquidity providers and exchange users.

130,000 UNI tokens were gifted to its hard fork SushiSwap, according to SushiSwap’s founder, Chef Nomi. Uniswap has minted 1 billion tokens that will be released to the community in the next four years.

A crypto trader believes that UNI’s price will continue to plunge to $3.30 before it regains the possibility of an uptrend. The trader believes that the $3.30 level is the UNI token’s support level, presenting a chart of UNI’s price.

“If you liked $UNI at $5.2, you gonna love it at $3.3.”

Chainlink witnesses massive selling pressure

Chainlink (LINK) has managed to hit multiple price discoveries this year, with the support of the surging popularity of the decentralized finance (DeFi) industry. Chainlink’s reached its all-time high this year, at $20, however, the altcoin has now slid to $8.83 at press time.

Amid selling pressure across the cryptocurrency market, LINK has witnessed the same fate. Chainlink has been trading down 4.2 percent in the past 24 hours, and over 27 percent in the past week.

A cryptocurrency trader said that Chainlink’s trend is looking grim. He explained:

“Important note: lose current support and it looks grim. Either way, $LINK looks to provide some proper volatility and thus opportunity.”

The altcoin market’s movement will largely depend on the Bitcoin and Ethereum prices in the coming days.

Chainlink Rebounds While Large-Cap Altcoins Lag Behind, DeFi Market Reaches $10B in Total Value Locked

Chainlink (LINK) has been making over 18 percent gains in the past 24 hours, taking the lead ahead of most of the large-cap altcoins and Bitcoin. Chainlink is currently trading at $9.76, just under $10, its recent resistance level. Chainlink currently ranks the seventh by market capitalization, according to CoinGecko.

In the past few weeks, Chainlink’s price has been plunging, and the altcoin has faced difficulties gaining any bullish momentum, much like most of the cryptocurrency market. The altcoin has dropped a long way down since its all-time high this year at $20. Chainlink has been met with intense selling pressure lately, having recently dipped 27 percent last week.

As most of the cryptocurrency market has been weakening in the past week, many tokens including altcoins and DeFi tokens have also seen massive losses, before its slight rebound today.

Although the stock market has seen major losses this weak, US stock futures rose slightly on Friday to avoid a fourth consecutive week of losses. While the stock market attempts to regain strength, the cryptocurrency market rose in tandem with the former.

However, the possibility of a recession still remains in question, as economist Stephe Roach recently said that the US dollar is set to crash, while a double-dip recession’s odds are over 50 percent. This could significantly affect the crypto industry.

Chainlink (LINK) price indicator for DeFi’s movement

As Chainlink (LINK) remains to be steadily increasing after touching its support level at $8, it is currently on its course of rebounding, and bullish momentum could take over. Chainlink’s price seems to be more detached from the rest of the crypto market recently, as the rest of the market is making around 2 to 10 percent gains in the past 24 hours.

Uniswap’s UNI token has also been seeing rather larger gains in the past week, up by 12.4 percent in the past 24 hours, and 55.2 percent in the past week. The price of UNI and LINK could be great indicators for the decentralized finance market (DeFi), as of lately, DeFi has climbed ahead of many altcoins, indicating that the DeFi market may be stronger than the rest of the crypto market. The DeFi market has recently reached $10 billion in total value locked (TVL) according to DeFi Pulse, and institutions may be entering the space subsequently.

Image source: Unsplash

Chainlink Price Analysis: LINK Struggles to Retest Previous Highs

Chainlink (LINK) has witnessed a balance of forces between the bulls and the bears since it reached its all-time high back on Aug. 18 this year. The Ethereum-based token has seen a steady downward spiral but not low enough to break its $6.79 support level.

While LINK has made several attempts to retest the previous high of $20.67, market bears have constantly fought back at every strategic resistance level. Since its all-time high rally, LINK has made two attempts to retest this level on Aug, 30 and Sept. 4 with the price hitting $17.89 and $17.44 respectively as both could not break beyond the $18.00 resistance level.

Link is currently trading at $9.21 at the time of writing, according to Coingecko. The Ethereum-based token has lost 0.6% in the past 24 hours, complementing the 21.8% loss experienced in the past 30 days. Let’s take a look at what the technicals are saying about the short term price prediction of Chainlink (LINK).

Relative Strength Index (RSI) and the Bollinger Bands on LINK Price

With the price of LINK trending low from its highest highs, the token seems to have lost the fight to retest new levels in the past days. Taking a look at the Relative Strength Index (RSI), LINK currently has an RSI of 43.36 according to the 4H chart from Trading View. This RSI score shows a below neutral momentum giving little clue as to the ambitious move of LINK in the coming days.

LINK Price Chart via TradingView

LINK bulls quickly hijacked the market from the bears as the price calmly retraced back from the lower band of the Bollinger Bands on the second of October as shown in the chart. As at the time of writing, the Bollinger Bands are somewhat not suggesting either a clear bullish or bearish runs but the coin may pull an unexpected surprise depending on who pressures the market the most, the bulls or the bears.

LINK’s Fundamentals May Drive Bullish Runs

Currently positioned at number 8 of cryptocurrencies by market capitalization according to CoinMarketCap, different digital currencies have had varying responses since President Donald Trump’s positive COVID-19 status was announced.

The longer-term price plunge in LINK may draw strength in its strong fundamentals. The LINK Network provides smart contracts with data, bank payments, and access to APIs. These use cases have driven the token up by more than 362.7% in the past one year and with the growing surge of DeFi tokens, LINK’s major rallies in the future will depend on greater adoption fueled by the application of its unique offerings.

What Is Chainlink?

Chainlink is a decentralized oracle network built on the Ethereum network, founded by CEO Sergey Nazarov.

The Chainlink network has made a name for itself by providing reliable tamper-proof data for complex smart contracts on any blockchain.

History

In 2014, SmartContract.com was founded as a way to bring external data onto the blockchain. From this, Chainlink was born, enabling smart contracts to connect to data feeds from any data source or API. This was a game-changer for the blockchain industry.

The first iteration of Smartcontract.com’s oracle solution was reliant upon centralized oracles, posing a hurdle for the development of the decentralized finance space. This issue was addressed in September 2017 with the introduction of the Chainlink network of decentralized oracles.

After raising $32 million in an ICO, the Chainlink mainnet went live in June 2019. The Chainlink project has become a pillar in the oracle space, and a must-have for all credible DeFi projects.

Smart Contracts

Smart contracts allow cryptocurrencies from one address to be moved to another address when specific conditions are met. Publicly viewable on the blockchain, smart contracts are immutable, meaning that the parameters of an agreement or the specifics of a contract cannot be altered once deployed.

Smart contracts that require off-chain data must have a reliable source for bringing the data on-chain securely and translating it accurately, before translating and communicating any on-chain data back to any off-chain parties.

This communication issue has held back smart contract development, however, with the introduction of oracles, this problem is now a thing of the past. Now, smart contracts can be used for a multitude of use cases sector-wide.

Oracles

Oracles are used to bring real-world data onto the blockchain through smart contracts. This could be anything from a weather forecast, a price feed, or the result of a football match. Decentralized finance (DeFi) is the most common use case for oracles, as these platforms require the most accurate and reliable data sources available to prevent catastrophe.

Oracles are an intermediary or ‘middleware’ that acts as a bridge between several parties during the transfer of data on and off the blockchain. Oracles verify and transfer real-world data so it can flow in and out of various blockchain ecosystems.

When used in conjunction with smart contracts, oracles verify that the conditions of the smart contract have been met and that the data provided is reliable.

Centralized oracles present the issue of a single point of failure, which is open to exploitation and could easily be shut down or cause another platform to fail, potentially putting users’ funds at risk. If a single oracle goes offline momentarily, this could cause havoc for a lot of people. This creates huge trust issues, especially in a field where so many are striving for trustlessness.

The Chainlink network of decentralized node operators is financially incentivized to reach consensus on the data they validate and move on and off the blockchain, with bad actors being penalized for foul play and their data being rejected having not reached consensus with the rest of the network. It is this element of decentralization that makes the Chainlink network so secure.

Core Features

Chainlink Smart Contracts

Any blockchain that is smart-contract-enabled can request data using the Chainlink Requesting Contract. Known as an ‘event’, this is then registered by the Chainlink network and creates a Chainlink Service Level Agreement Contract (SLA), which allows users to access off-chain data.

The SLA contract has three sub-contracts:

Chainlink Reputation Contract

Tracks the performance of a node and authenticity of data, looking for suspicious actors or suspicious nodes.

Chainlink Order-Matching Contract

Sends data requests to nodes to be used in smart contracts and allocates appropriate nodes for different tasks.

Chainlink Aggregating Contract

Collates, validates, and reconciles any data requests, and translates data for communication between parties using the Chainlink Core software. This data can then be sent to an API and sent back to the Chainlink Aggregating Smart Contract.

Chainlink VRF

Chainlink VRF uses cryptographically-verifiable randomness functions to make provably-random outcomes verifiable on the blockchain. The VRF has been particularly useful for blockchain-based gaming and gambling and could be used to prove random assignment of tasks in the workplace.

The LINK Token

Built using the Ethereum ERC-20 standard, LINK is the native token of the Chainlink ecosystem. Node operators are paid in LINK for securing the network, by staking the token This incentivizes honesty and integrity among the nodes as penalties are incurred for dishonesty.

The LINK token soared in value throughout 2020, from the post-crash price of less than $2 in March, reaching an all-time high of almost $20 in August.

Conclusion

There has been a steady stream of Chainlink integrations this year, including partnerships with the biggest names in DeFi, as well as integrations with Microsoft and IBM.

Chainlink is changing the financial landscape by reimagining how financial contracts work, with a decentralized oracle network pushing towards the fourth industrial revolution.

Though many oracle solutions are usually required by blockchain protocols, any reputable project will likely have Chainlink as their number one choice of oracle.

Chainlink Price Gains Bullish Momentum as LINK Whales Accumulate

Chainlink (LINK) price has seen a rally in the past week, currently up by 19 percent in the last 7 days. LINK is currently trading at $11.20, following the price action of Bitcoin and other large-cap cryptocurrencies in the market.

A crypto analytics firm presented data that showed that Chainlink whales have been accumulating large amounts of LINK recently. This data shows that investors are bullish on the altcoin, while the token may be hit with more buying pressure, accumulating more bullish momentum.

Investors are confident in Chainlink’s uptrend even though the token has declined at least 50 percent from its all-time high. Crypto analytics firm Santiment tweeted:

“The top LINK non-exchange whales continue their gradual accumulation pattern. As seen on our chart, the top 100 non-addresses held 735.64M a year ago. Now up to 771.15M, the ~5% increase is indicative of clear whale confidence in the asset’s longevity.”

Another crypto analyst commented that as most of the other decentralized finance (DeFi) tokens have not followed Bitcoin’s rally, it might be time for Chainlink to be back in the spotlight. The analyst tweeted:

“Cycle lows might be in on Chainlink. Seeing a lot of the top DeFi hype coins lose its shine, makes me think that Chainlink will get some time back in the spotlight. Currently at resistance and waiting for the flip to enter. I think $BTC and $ETH lead up again.”

Chainlink’s bullish price action may not move too far up if Bitcoin does not take the lead first. Bitcoin has risen 6.5 percent in the past week, and is currently trading at $11,355. Democrat Nancy Pelosi said yesterday that discussions over a new $1.8 trillion stimulus package have ground to a halt, which President Trump is blaming on the Democratic House Speaker.

In theory, high inflation and the US dollar losing purchasing power will send the Bitcoin price surging as it solidifies its position as a hedge investment and store of value. Bitcoin’s price could move higher in tandem with Chainlink if the stimulus package talks resume. The price trend of Chainlink and other large-cap altcoins will largely depend on Bitcoin and Ethereum prices in the coming days.

Chainlink (LINK) Price to Gain Bullish Momentum Despite Broken Correlation with Bitcoin

Chainlink has not been able to see any upside strength recently, even though Bitcoin has been able to rally over 4 percent in the past 24 hours. Chainlink (LINK) has been consolidating around $10 to $11 and is currently trading at $10.39 at press time, according to CoinMarketCap.

Chainlink has been trading sideways in the past week and is currently down by over 5 percent, and 2.2 percent in the last 24 hours. Bitcoin’s dominance has been rising for over a month, with around 60 percent dominance over the entire cryptocurrency market. Bitcoin’s rally has been most likely driven by spot buying pressure, even though most altcoins have not been able to gain any bullish momentum.

The altcoin market has broken correlation with Bitcoin’s price, and BTC has been rallying independently. Chainlink’s price decline has moved in tandem with the rest of the altcoin market, as a heavy selloff has been witnessed as Bitcoin’s price has been surging higher.

An analyst has analyzed Chainlink’s technical outlook and explained that there is stronger upside potential in the coming one to two days, targeting the $13 price level. The analyst explained that there are a few factors that could push LINK higher, towards $13:

“$LINK looking good to me for a stronger upside push. Ideally looking for the $13 region but it’s going to depend on the market conditions with the imminent news over the next 24-48 hours. I’ll play it a little safer if we get towards $11.50 before that time.”

However, until the entire altcoin market rebounds and follows Bitcoin’s lead, Chainlink’s price could continue to drift sideways. Another crypto analyst explained that LINK has been seeing higher gains than Bitcoin since late 2017:

“For those who somehow think $LINK is not performing that well, there really is only one chart you need to see, and that is $LINK going up 2 orders of magnitude against $BTC since late 2017.”

Chainlink could see potential uptrend as partnerships increase

Recently, Everipedia has chosen to use Chainlink oracles to increase transparency in the US election voting system. Everipedia, the blockchain-based encyclopedia has teamed up with international newsgroup The Associated Press (AP) for the publication and distribution of results for the upcoming US election in November.

Voting data will be cryptographically signed and published onto the blockchain, using Everipedia’s Chainlink data oracles to bring data on and off the blockchain to communicate securely between different parties in a trustless manner.

Chainlink has had a history of its price moves in tandem with new partnerships. Along with the increasing popularity of the decentralized finance (DeFi) industry, Chainlink could continue to see long term gains even after reaching multiple all-time highs this year. Crypto market analyst Kevin Svenson recently tweeted:

“Chainlink is still the most likely Cryptocurrency to experience a 2017 $ETH style price gain in the next bull run.”

Chainlink Whales are Growing as LINK Investors Increase, according to Santiment Study

New data by Santiment reveals that crypto wallets holding at least 1,000 Chainlink (LINK) grew by more than 445 in November. The on-chain data provider acknowledged that the number of high-end Link investors was on the rise.

The growing number of crypto whales

The crypto analytics company acknowledged:

“The amount of high-end Chainlink investors continue to grow, according to our ‘Holder Distributions’ data. There are 445 more addresses holding 1,000 or more LINK (currently at least $13,950), compared to last month.”

Whales in the crypto space are continuously hitting new highs. For instance, Santiment disclosed that Bitcoin whales linked to crypto wallets holding more than 10,000 BTC had surged to 111 by mid-November. The growing number of Chainlink whales shows the sixth-largest cryptocurrency based on market capitalization is not being left behind.

LINK Decentralized Oracle

As a decentralized oracle network built on the Ethereum network, LINK is making a name for itself by providing reliable tamper-proof data for complex smart contracts on any blockchain.

Chainlink is continuously making notable strides in the crypto space. For instance, in October, it partnered with Unstoppable Domains, a company building blockchain domain names, to establish a Twitter authentication service for crypto addresses. This new feature was to enable crypto users to quickly authenticate public social media profiles by verifying the address ownership through MyEtherWallet (MEW).

Later on, in November, Equilibrium, a decentralized cross-chain money market, chose Chainlink to power its synthetic assets, lending, and stablecoins. The decision to settle on Chainlink was propelled by its time-tested solution as a decentralized oracle provider.

Chainlink Price Feed was to be integrated into Equilibrium’s cross-chain money market called Polkadot. As a result, smart contracts were to avail accurate asset valuations needed in the issuance of loans, execution of synthetic asset trades, and price collateral.

The growing number of LINK whales shows this cryptocurrency is becoming a favorable investment tool.