Chainlink (LINK) price has recently plummeted, dropping by 40% from its yearly high of $26.44 to $18.59. However, analysts point to potential upcoming growth.
Current LINK Price Outlook: Growing Sell-Off
Chainlink's recent price drop to $18.66 worried some traders, especially with large holders offloading significant portions of their holdings. Over 4.13 million LINK tokens were introduced to the market within days, adding pressure to the price and sparking speculation. However, this selloff might not signal a long-term decline, as on-chain data and technical indicators suggest it is part of the natural market cycle.
Analyst and Technical Insight Amid Accumulation
The current LINK chart reveals bullish indicators. Despite the downturn, analysts are observing an accumulation phase. One significant pattern that investors closely watch is the cup-and-handle formation, a classic bullish indicator suggesting a strong rally after completion. More recently, LINK has formed a falling wedge pattern, typically leading to a breakout once resistance is breached.
The Forces Behind Chainlink Price’s Potential Surge
Key developments are drawing the attention of analysts interested in LINK's price increase. Recently, U.S. President Donald Trump's World Liberty Financial (WLFI) fund started holding LINK, purchasing over $730,000 worth. This has sparked speculation of growing institutional interest. LINK’s positive outlook is further bolstered by its growing role in real-world asset (RWA) tokenization.
With positive technical and fundamental factors, LINK could see an upward trend. The Chainlink price may reach $20 or more in the future.
