Chainlink’s native token, LINK, fell sharply below the $14.50 mark on Thursday, dropping nearly 5% in 24 hours amid a broader market selloff. The token slid from $15.26 to a low near $14.40, hitting its weakest level since late October.
Despite the price decline, Chainlink’s Reserve increased its holdings by 74,049 LINK tokens, pushing total accumulation above 800,000 LINK. The average cost for these holdings remains around $20, indicating the Reserve is currently facing unrealized losses of approximately 27%.
Technical Breakdown and Market Activity
LINK underperformed the broader CoinDesk 5 Index, which fell 3.7% over the same period. Trading volume surged to 3.32 million tokens, exceeding the daily average by 118%, signaling strong sell pressure.
A rapid liquidation event occurred between 17:05 and 17:41 UTC, where over 360,000 LINK tokens changed hands in minutes. This cascade intensified bearish momentum and pushed the price toward a new support zone near $14.40.
Key Technical Levels and Outlook
- Support: $14.40–$14.50 range acts as immediate support.
- Resistance: $15.00 and $15.26 levels remain key hurdles for recovery.
- Volume Analysis: Elevated trading volume confirms institutional-driven selling pressure.
- Chart Pattern: Breakdown of trendline confirms a bearish reversal from recent highs.
- Risk Range: Holding above $14.40 limits downside toward $14.20; failure to reclaim $15.00 may prolong weakness.
Traders will watch closely whether LINK can stabilize above $14.50 or if further declines toward $14.20 will unfold as momentum remains bearish.