LINK Price Jumps 10% as it Completed Tests With the DTCC

Chainlink ( LINK ) social dominance reached a six-month peak on Friday, surpassing levels seen in the past six months, along with the token's price rally that began on Wednesday. Despite the price increase and rising talk about the token, on-chain data suggests that LINK holders have started taking profits, a sign of possible increasing selling pressure ahead.

Chainlink ( LINK ) has hit a six-month peak in the social dominance metric, indicating that the token dominates crypto-related discussions on social media platforms. The social dominance score for LINK is at 1.55%, meaning that nearly 2% of the discussions across social media platforms are related to the token. This is the highest level of dominance seen so far in 2024.

The increasing talk about Chainlink ( LINK ) could be a consequence of its recent rally. The token has posted gains for three consecutive sessions and trades around $16.60 on Binance, the highest level since April 12. LINK price has increased by 22% this week. However, this recent price rise could be about to lose momentum.

On-chain activity tracker Lookonchain shows that LINK holders have started taking profits on Friday. A trader tracked by Lookonchain sold 117,440 LINK holdings, worth $1.84 million and taking a profit of $205,800. It is important to note that profit-taking has just started in $LINK. Once it exceeds significant levels, it could indicate the likelihood of a price decline due to the increasing selling pressure. As of Friday, LINK holders have taken $2.26 million in profits by shedding their holdings.

In its pursuit to accelerate the tokenization of funds, the Chainlink ( LINK ) network has completed tests with the DTCC and ten participating firms. The test reiterated the ability of Chainlink’s Cross Chain Interoperability Protocol (CCIP) to serve as an abstraction layer between the DTCC and the many blockchains needed for integration now and in the future.

Chainlink price ( LINK ) is up 10% in the past 24 hours, riding the wave of this news and the broader bullish sentiment as Bitcoin price remains above $65,500. If the LINK bulls can push the price above the $16.863 resistance level, a flip of this roadblock into support will promote more buy orders. However, LINK would only be attractive to buy after the price records are stable, close to $18.320. In a highly bullish case, the gains could extend a neck higher to the $20.702 roadblock.

The daily price chart depicts a "Bullish Engulfing" pattern accentuating LINK 's bullish dominance. Chainlink's Relative Strength Index (RSI) stands at 62.24 which is prime for further growth.