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- Chainlink price surged 42% in August, doubling Ethereum’s gains.
- Whales are driving accumulation as exchange supply drops nearly 10%.
- Sustained FOMO could push LINK beyond its recent breakout level.
Chainlink (LINK) is off to a powerful start in August, surging over 42% this month—double Ethereum’s (ETH) gains. Last week alone, LINK posted a massive 35.34% candle, beating ETH’s 21% rally. The LINK/ETH ratio is nearing a critical monthly support level, a zone that historically triggered LINK’s 82% surge in Q4 last year, far outpacing ETH’s 28%.
This outperformance is showing across multiple timeframes. On the daily chart, LINK has risen 13% compared to ETH’s 9%, despite ETH benefiting from institutional inflows and a tightening supply.
$24 Resistance Breached as Bullish Structure Holds
The key breakout came as LINK breached the $24 supply wall with a 2.82% intraday gain—its first close above this level since February 2. This puts late Q1 to mid-Q3 holders back into net profit, shifting sentiment dynamics.
According to AMBCrypto, the battle between fear-of-missing-out (FOMO) and profit-taking will dictate the next move. So far, HODLers are holding steady, signaling confidence in further gains.
Whales Accumulate as On-Exchange Supply Falls
On-chain data reveals muted profit-taking despite the breakout, keeping sell-side pressure low. Elevated whale activity—713 on-chain transactions per day—suggests large holders are fueling the rally.
Also Read: Chainlink (LINK) Breaks $19.50 as Solana (SOL) Eyes Next Crypto Breakout
Over the past eight weeks, on-exchange LINK supply has dropped by 20.69 million tokens (–9.8%), tightening liquidity and amplifying upward momentum. With concentrated buying and reduced available supply, price pressure remains tilted to the upside.
Outlook: FOMO Over Profit-Taking
Chainlink’s bullish structure remains intact, supported by strong whale accumulation and reduced exchange supply. If FOMO continues to outweigh profit-taking, LINK could extend its breakout beyond $24, revisiting higher resistance zones seen earlier in the year.
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!
