Native token of oracle network Chainlink dipped through critical support levels on Thursday as institutional selling dominated the session.
The token fell 8% from $18.39 to $16.92 over the past 24 hours, falling below a descending trendline that contained recent price action, CoinDesk research’s market insight tool showed. Trading volume rose to 3.94 million units during the initial crash, nearly double the average.
Recent hourly data shows LINK trapped below $17 in a tight consolidation range. Several attempts to regain the psychological level of $17 failed as trading activity fell 58% during the session highs. The compression suggests institutional buyers remain absent despite oversold technicals developing.
On the news front, Ondo Finance’s real-world asset protocol named Chainlink as the provider of price feeds for over 100 tokenized stocks and ETFs. The service includes streaming data on corporate actions like dividend payments to ensure accurate valuations across multiple blockchains. The partnership also involves Chainlink’s Cross-Chain Interoperability Protocol (CCIP) and collaboration through the Ondo Global Market Alliance.
Chainlink Reserve, which uses protocol revenue from partnerships and services to buy tokens on the open market, added another 64,445 LINK to its inventory on Thursday. It is the largest nominal purchase since the beginning of August, when the reserve started. It now has LINK worth $11 million.
What traders should see:
- Support/Resistance: Immediate resistance at $17.00 psychological level, stronger resistance at $18.20 from failed recovery attempt.
- Volume analysis: Outstanding volume of 3.94 million entity under collapse confirmed institutional selling.
- Chart Patterns: Descending trend line breaks triggered accelerated selling through multiple support zones.
- Target and Risk: Next support target $16.50 zone, potential deeper correction towards $16.00 if consolidation fails.
Disclaimer: Portions of this article were generated with the help of AI tools and reviewed by our editorial staff to ensure accuracy and compliance with our standards. For more information, see CoinDesk’s full AI policy.
