Chainlink's Token Skyrockets Amid Upcoming Staking Upgrade and Integration Breakthroughs
Summary:
Chainlink's (LINK) token experienced a surge of 61.3% from Oct. 20 to Oct. 25, reaching a record high since May 2022. This rise coincided with Bitcoin's gain of 23% but stood out in comparison to Ether's and Solana's more modest increases. Chainlink's forthcoming staking modification and its integration with various blockchain networks have added to LINK's exceptional performance. Despite mild market pressures and initial liquidation fears following the bankruptcy proceedings of FTX and Alameda Research, the LINK token has maintained stable performance, seeing a three-month peak in leveraged long positions and an 11-month high in unique active addresses. This promising performance is boosted by major advancements in Chainlink's ecosystem and native staking solution.
A marked rise of 61.3% was observed in the price of Chainlink's (LINK) token from the period of Oct. 20 to Oct. 25, peaking at an impressive $11.78, giving it a record height since May 2022. Following this, LINK’s value settled to approximately $10.50, igniting doubts in the investors about the newly acquired stability. Notably, this rise was accompanied by the 23% upswing of Bitcoin (BTC) in the same timeframe. However, what sets LINK apart is its extraordinary rise juxtaposed to the more modest 14% and 28% elevations seen by Ether (ETH) and Solana (SOL) respectively, suggesting a growing bullish inclination towards Chainlink's pioneering oracle and decentralized computing services.
Several fresh events back LINK's standout performance. Of particular note is Chainlink's upcoming staking enhancement, slated for implementation over the next few months, which gathered considerable public interest. The initial pool was a grand accomplishment, being filled up within a three-hour timeframe, with the prospective enlargement offering higher flexibility via staking pullouts, better security assurances, and fluid rewards.
Link's integration with various blockchain networks has also boosted investor enthusiasm. For example, on Oct. 15, Chainlink disclosed its services provision to Advanced Crypto Strategies DAO, a multicurrent yield optimizer and automated liquidity manager, and Equilibria, a pendle finance yield amplifier. As of Oct. 22, Chainlink facilities had been added to Cobo Global, an enterprise-class digital security solution, and StaFi Protocol's liquid staking solution for Proof-of-Stake networks, Ethereum's on-chain spinoff platform Thales Market, and Xena Finance, which purveys 50x perpetual futures on Coinbase's Base chain.
Vodafone, a telecom industry leader, made an important revelation on Oct. 24 indicating its digital asset wing’s participation in the Chainlink network as a node operator, following a successful test run in document trading across platforms with the Japanese trade and investment business, Sumitomo.
Worries of a possible bankruptcy liquidation from FTX and Alameda Research diminished after the clearance from Delaware Bankruptcy Court for the sale of the companies' cryptocurrencies on September 13. Initial fears surrounding a possible liquidation of $3.4 billion in digital assets, including LINK, raised the specter of a market downturn. However, the gradual transfers made from wallets linked to the bankruptcy estate showed minimal effect on market prices.
With the attenuation of concerns over the bankruptcy proceedings of FTX and Alameda Research, and the resurgence of interest in mid-cap altcoins with Bitcoin's increase above $32,000 on Oct. 23, LINK attracted more investors. As a result, the demand for long leveraged positions in LINK hit a three-month peak, alluded to by the funding rate. Additionally, the number of unique active addresses on the Chainlink network saw an 11-month high, as indicated by Messari and Coinmetrics data.
The previous peak was experienced on Nov. 7, 2022, when issues with FTX exchange coincided with a six-month LINK price high of $38.32, which went hand in hand with withdrawal worries from FTX exchange and apprehensions about the possible impact on its homegrown token FTT due to Changpeng "CZ" Zhao's decision to liquidate Binance's FTT holdings the day before. Despite a 51.7% plunge in LINK's price to $18.50 in the following 30 days, fans of LINK have no reason for concern on this occasion, thanks to significant developments in its ecosystem and attractive improvements in Chainlink's native staking solution.
Published At
10/27/2023 6:41:52 PM
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