Chainlink’s digital presence is currently going through a dormant period in terms of social media discussions. This suggests that, according to data from the Santiment team, this type of drowsiness could actually be a good thing for the LINK price as explained below.
LINK doesn’t discuss much and that’s actually a good thing. Our studies show that assets are more likely to increase when discussion of the crowds is low.
Chainlink active addresses are running out
At the same time, address activity in the Chainlink network has been declining since the beginning of March. A decrease in network activity could be the first sign of a possible problem for Chainlink in crypto markets as it means that the demand for LINK on the network is decreasing.
The chart below further illustrates the decline in daily active address activity since the beginning of the month, courtesy of Santiment.
Chainlink whales holding more than 10 thousand LINK are on the decline
Blockchain data from the Santiment team also highlighted the decline in the number of Chainlink whales holding at least 10 thousand LINK. Such a decline is also worrisome as it points to constant sale of LINK by large Chainlink owners.
Retain the $ 25 support
Chainlink (LINK) is trading at $ 25.80 after a rapid drop to $ 23.60 earlier today.
The second price area was the result of a crypto-wide meltdown that saw Bitcoin plunge from $ 57,100, yesterday’s high, to $ 50,400.
It should be noted that most quarterly Bitcoin options and futures expire tomorrow, March 26, and the event may come with additional selling pressure for BTC. The possibility of additional selling could eventually cause Chainlink to once again struggle to maintain the $ 25 price area.