LINK price was hammered in yesterday’s market-wide selloff, but whale accumulation and major exchange outflows suggest the dip may be fueling a rally to $28.
Summary
- LINK price plunged nearly 12% to a low of $20.30, breaking below the key $21–22 support zone before rebounding.
- Whales bought over 800,000 LINK during the dip, while 5.5 million LINK were withdrawn from exchanges—signals of strong long-term conviction.
- LINK price must reclaim $21–22 to stabilize, with upside targets at $23.10, $24.8, and $25.7, while $20 remains the critical support level.
Yesterday, amid a broader crypto market selloff that wiped out over $1.5 billion in leveraged long positions, Chainlink (LINK) dropped sharply, declining almost 12% from the opening price of $22.96 to the intraday low of $20.30. This crash broke below the key horizontal support zone at $21–22, driving LINK price down to test the $20 psychological level, which also aligns with the prior breakout area from July.
Apparently, whales saw an opportunity in the dip, with over 800,000 LINK accumulated by large holders during the selloff, according to analyst Ali Martinez.
Martinez also reported that in the past day, approximately 5.5 million LINK were withdrawn from centralized exchanges, which is usually interpreted as a signal of long-term conviction as tokens taken off exchanges are typically less likely to be sold in the near term.
What’s next for LINK price?
The mix of whale accumulation and big exchange outflows shows a clear split between short-term price and longer-term investor confidence. In addition, a potential LINK ETF approval by the U.S. Securities and Exchange Commission could serve as another major long-term catalyst.
From a technical standpoint, the immediate challenge for LINK price now lies in reclaiming the broken support zone at $21–22, which now acts as resistance. The token is currently trading at $21.82, rebounding roughly 7.5% from yesterday’s intraday low.
A daily close back above this zone would be the first sign of stabilization, potentially opening the door to the 7-day SMA around $23.10. Beyond that, clearing the previous swing highs at $24.8 and $25.7 would strengthen bullish momentum and set up a possible retest of the $28 level, where the last major rally topped out in late August.
