- Chainlink’s Futures Open Interest surged to an all-time high of $770.27 million, outpacing $TON and $TRX.
- Traders realized $35.57 million in profits, the second-largest profit-taking event for $LINK in 2024.
- Chainlink’s network shows positive growth with active addresses trending upwards, though still below 2021 peaks.
- Speculative activity remains high, with a notable 22.5% increase in short-term holder activity.
Chainlink’s token, $LINK, is making waves in the crypto market, reaching its highest price in nearly two years. According to recent data from Glassnode, the token’s Futures Open Interest (OI) has surged to an all-time high of $770.27 million. This significant increase signals a rise in trading activity, positioning $LINK as a frontrunner among major cryptocurrencies. The surge in OI highlights growing interest in $LINK, reflecting its potential as a trading asset.
Chainlink Surge in Futures Open Interest: A Major Indicator of Growth
To understand the scale of $LINK’s recent growth, it’s important to compare its Futures Open Interest to other major tokens. At $770 million, $LINK’s OI stands out:
- $LINK OI: $770M
- $TON OI: $259M
- $TRX OI: $356M
These figures demonstrate that $LINK’s Futures OI is three times that of $TON and double that of $TRX. This surge in OI signals an uptick in market speculation, with more traders anticipating future price movements. The heightened Futures activity points to the growing influence of $LINK in the crypto market, with traders keenly watching its next steps.
Profit-Taking Dominates as Traders Cash In
As $LINK’s price surged, profit-taking followed suit. Glassnode reports that $35.57 million in profits were realized, marking the second-largest profit-taking event for $LINK in 2024. The biggest profit-taking event occurred on February 11, when $40.39 million in profits were recorded.
These profit-taking events are predominantly driven by short-term market participants looking to capitalize on the price rally. Notably, 15.3% of ultra-short-term holders (1 day to 1 week) exited their positions during this surge, reinforcing the speculative nature of the current rally.
Active Addresses Show Positive Momentum
Beyond the speculative trading activity, Chainlink’s fundamentals show improvement. The number of active addresses on the Chainlink network has been trending upwards, with the short-term simple moving average (SMA) of 6,682 addresses remaining above the long-term SMA of 5,878 addresses. While this is a positive sign, active addresses are still significantly lower than the peak of 23,416 addresses recorded in 2021. This indicates that while the network’s activity is improving, there is still room for growth.
While short-term traders have been active, long-term holders have remained relatively quiet. The 1-2 year cohort saw an 11.6% increase in activity, while other long-term holders have shown little movement. This suggests that most long-term holders maintain their positions and wait for more sustained growth before making significant moves. In contrast, short-term holders (3-6 months) have seen a notable 22.5% rise in activity, further emphasizing the speculative-driven nature of the recent price action.
Chainlink’s recent price surge, driven by an increase in Futures Open Interest and significant profit-taking, shows traders’ growing interest in the token. While short-term market activity is leading the way, positive trends in active addresses and slight upticks in long-term holder behavior suggest a more balanced outlook for $LINK.
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