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- Chainlink whales sold $15M worth of LINK at a loss, signaling bearish sentiment.
- Retail traders joined the sell-off, driving sustained market pressure.
- On-chain activity has declined sharply, hinting at reduced demand.
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Chainlink (LINK) has struggled to hold ground after failing to break past $23.1. Over the last four days, the token has fallen steadily, trading near $22.1 at press time — a 3.7% daily decline. The drop reflects growing panic among large holders, with whales dumping millions worth of LINK, even at a loss.
On-chain data shows that a major whale recently transferred 700,000 LINK (valued at around $15.5 million) to Binance, realizing a loss of roughly $2.76 million. Historically, whale capitulation at a loss often signals shaken confidence, a sentiment that can weigh further on market performance.
Retail Traders Follow the Sell Trend
It’s not just whales pulling back — retail investors have also joined the selling rush. Data from Coinalyze revealed seven straight days of negative Buy-Sell Delta for Chainlink, showing persistent sell-side dominance. On October 6, LINK recorded $1.77 million in sell volume compared to $1.25 million in buy volume, highlighting intense short-term pressure.
Exchange inflows have also turned positive, with roughly 136,000 LINK tokens moving onto trading platforms over two days, suggesting that both large and small holders are preparing to sell.
On-Chain Demand Weakens Sharply
Beyond market trading, Chainlink’s on-chain activity has weakened considerably. Active addresses have dropped to around 6,000 — the lowest weekly figure in months — while daily transactions have plunged from over 430,000 to just 18,000. This steep decline signals fading network engagement and weakening investor interest.
When both active addresses and transactions fall together, it typically indicates lower demand across the ecosystem, a bearish setup for any crypto asset.
Also Read: Chainlink (LINK) Could Hit $50 in 2025 — $195 by 2030: Here’s the Path
What’s Next for LINK?
With selling pressure mounting and on-chain metrics slipping, Chainlink’s near-term outlook remains uncertain. If bearish momentum continues, LINK could test the $20.3 support zone. However, if selling cools and buyers return, a rebound toward $23.1 or even $24.9 remains possible.
For now, sentiment leans bearish — and traders are watching closely to see whether LINK can stabilize before deeper losses set in.
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Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
I’m your translator between the financial Old World and the new frontier of crypto. After a career demystifying economics and markets, I enjoy elucidating crypto – from investment risks to earth-shaking potential. Let’s explore!
