Chainlink (LINK) price has concluded another week in the red, reaching a new two-month low. Despite this, around 17.8 million tokens have recently been unlocked, which could impact the market.
Overview of Chainlink's Current Situation
LINK's price has fallen by over 3% in the last 24 hours, hitting $12.22. This suggests that token holders are offloading their assets in anticipation of further price dilution due to recent token unlocks. The general price trend for Chainlink remains bearish.
Challenges for LINK's Price and Potential Recovery
LINK experienced a drop of over 8% from the weekly opening price; however, it is nearing a support zone at $2. A successful support retest may provide an opportunity for a corrective bounce, yet the risk of further decline remains, particularly if the tokens do not restore demand. Currently, LINK is not oversold, implying possible further downward movement.
Whale Interest and Their Possible Role
Despite the negative price trends and rising supply, analyst data indicates that whales might be taking advantage of current prices to accumulate assets. According to IntoTheBlock, the number of large transactions has doubled, and net flows of tokens have significantly increased, possibly indicating renewed interest from larger investors. Notably, whales own about 66% of the circulating LINK tokens.
Despite the current challenges with LINK's price and the recent token unlock, whale activity and a potential support test may create conditions for achieving better prices for Chainlink in the future.
