Chainlink (LINK) gained 25% within the last two weeks, outperforming many tokens in the altcoin market. That comes as investors continue to pull out LINK tokens from exchanges, reducing selling momentum on the alt. That has seen the alt flourishing in September.
LINK exchange supply plunges 16.4%
Chainlink has flourished over the past two weeks despite other digital assets struggling with bearish tendencies. LINK price climbed from $5.46 on 11 September to $7.232 on Monday (25 September), translating to a 25% uptick.
Meanwhile, LINK’s price surges matched the token’s plummeting supply on centralized exchanges (CEXs). Santiment data shows Chainlink supply declined by 16.4% within the last ten days. Generally, reduced token supply lessens selling momentum, supporting an upside narrative.
Santiment added that Chainlink tokens flew from exchanges to cold wallets (offline physical wallets). That removes the assets from circulation, leading to a bullish case for the digital coin.
LINK to remain elevated
Analysts are highly optimistic about Chainlink. For instance, Altcoin Sherpa posted on X that LINK is among the few cryptos he might consider purchasing and holding for the longer term (more than six months).
The expert believes that Chainlink has all it takes to skyrocket in the next bull rally, citing the asset’s vital role in supporting many projects and its few rivals.
Technical indicators also support upside price movement for the crypto. The 24-hour chart displayed a bullish flag, while the 20d EMA crossed above the 50d EMA over the last two days. That shows LINK bulls dominated within the past twenty days in the 50-day timeframe.
Moreover, the EMA crossing indicated that LINK’s medium-term stance favored bulls. Validating the mentioned flag might see the token flipping $7.331 into the support floor. Such a development will welcome price surges to $7.920.
Nonetheless, failure to close beyond $7.311 in the coming two days might trigger dips to $6.48. magnified selling momentum may see LINK plunging beneath this foothold towards the $5.706 benchmark.
The post Chainlink (LINK) sees reduced selling pressure, outperforming the altcoin market appeared first on Invezz.
