Chainlink (LINK) traded near $13.34 on Monday as the cryptocurrency recovered from Thursday's low of $12.09, buoyed by record institutional inflows and increased accumulation by large token holders.
ETF Inflows Hit Yearly High as Large Holders Accumulate
Exchange-traded funds focusing on LINK attracted $9.48 million in net inflows on Friday, marking their single largest daily entry this year, according to data from SoSoValue. The product suite has now recorded five consecutive weeks of positive inflows, signalling growing interest through traditional investment vehicles even as broader crypto ETF flows face intermittent volatility.
Alongside ETF demand, on-chain data from Santiment indicates steady accumulation by large-scale entities. Wallets holding between 1 million and 100 million LINK currently control 65.6% of the circulating supply. This reflects an increase of 0.22 percentage points from the 65.38% figure logged on October 1. While these wallet brackets can include centralized exchanges and institutional custodians, the shift highlights an expanding concentration among major market participants.
Technical Outlook Points to Key Resistance at $13.50
From a technical perspective, Chainlink's broader structure remains anchored by an ascending trendline connecting the August 10 and September 16 swing lows near $12.30. However, the asset is still working to overcome a broader pullback that originated from its September 29 high of $15.77.
On the four-hour chart, LINK is holding above its 50-period exponential moving average (EMA) at $13.32. The primary hurdle for buyers is a descending resistance trendline near $13.50, which connects the September 30 and October 5 highs.
A confirmed breakout above $13.50 would open the path toward $13.93, representing the 50% Fibonacci retracement level of the drop from $15.77 to $12.09. Beyond that target, buyers may eye the $15.77 swing peak and the 127.2% Fibonacci extension level near $16.77.
Technical indicators show tentative bullish strength: the four-hour Relative Strength Index (RSI) stands near 55, staying above the neutral threshold, while the Moving Average Convergence Divergence (MACD) indicator has flipped into positive territory.
If the breakout fails, initial support sits at the 50-period EMA ($13.32), followed by the 200-period EMA at $12.95. A breach below these levels would test the trendline near $12.30 and Thursday's low at $12.09.
Key Takeaways
- Record ETF Volume: LINK-focused ETFs gathered $9.48 million on Friday, the largest single-day inflow of 2024.
- Supply Concentration: Wallets holding 1M to 100M LINK now command 65.6% of circulating supply, up 0.22% since Oct 1.
- Crucial Levels: Immediate technical resistance rests at $13.50, while downside support sits at $13.32 and $12.95.
Why It Matters
Chainlink's institutional demand through dedicated fund products highlights sustained interest in top-tier altcoins despite wider macro uncertainties. The combination of five straight weeks of ETF inflows and incremental whale accumulation provides a solid foundation for price stability. However, clearing the overhead resistance at $13.50 remains essential to confirm a structural bull trend rather than a short-term relief rally within a wider range.
