Crypto analyst Ali Martinez reported a significant sell-off of more than 4 million LINK, leading to a drop in the cryptocurrency's price to $19.
Whale Sell-Off and Its Impact
Analyst Ali Martinez noted that holders with 1 to 10 million Chainlink reduced their holdings by 4 million LINK starting February 2, 2025. This sell-off led to a price decrease from over $21 to around $19.
No Negative News for Chainlink
Amid the absence of any significant negative news about Chainlink, the sell-off is likely due to profit-taking. LINK was recently trading above $25 according to CoinGecko data. Additional market pressure may have originated from recent tariffs imposed by U.S. President Donald Trump, increasing volatility and prompting investors to sell riskier assets.
Technical Analysis and Forecasts
Crypto trader Nebraskangooner informed his followers that LINK is in a consolidation phase. He warned that a breakdown below key support could lead to a price decline to $12, but a breakout above resistance could trigger a new uptrend.
The current situation with Chainlink highlights the importance of monitoring market conditions and technical levels. Investors will continue to closely observe the coin’s performance amid overall market instability.
