Chainlink (LINK) has seen a decrease in its large holder netflow to exchanges in the past month. This indicates that major holders of the altcoin have only transferred a small portion of their holdings to exchanges for sale. The current price of LINK stands at $14.31, reflecting a 21% drop in value over the last month.
As the price of LINK has declined, the netflow from whales to cryptocurrency exchanges has also decreased significantly, falling by 110% in the past 30 days. Currently, the large holder netflow to exchange netflow ratio for LINK is -0.06%. This ratio measures the proportion of cryptocurrency transferred from whales to exchanges relative to the total exchange netflow. A negative value indicates that only a small portion of large investor holdings are being sent to exchanges, which could be interpreted as a bullish signal suggesting that large investors are accumulating and holding onto their assets.
Based on the token’s market value to realized value (MVRV) ratio, it may be a good time for LINK holders to consider buying as the ratios assessed over 30-day and 365-day moving averages are -3.7% and -1.0%, respectively. The MVRV ratio tracks the ratio between an asset’s current market price and the average price of all tokens acquired for that asset. A negative value like this indicates that the market price of the asset is lower than the average purchase price of all its tokens in circulation, signaling a potential buying opportunity.
If LINK whales continue to hold off on selling and other investors take advantage of the current dip in price, the altcoin’s value may rally to $15.17. However, if the price decline persists, LINK’s price could drop below $13.
As always, it is important to conduct your own research and seek professional advice before making any financial decisions. This article is for informational purposes only and should not be considered as financial or investment advice. Market conditions can change rapidly, so it’s essential to stay informed and make informed decisions.