Analyst Flags Three Warning Signs for Chainlink After 95% Rally
An analyst identified TD Sequential sell signal, declining whale transactions, and rising exchange deposits as caution signals following LINK's 95% two-month rally.
Why it matters
The combination of a technical sell signal, declining whale activity, and rising exchange inflows could indicate profit-taking pressure following a sharp rally, which may affect short-term price action for LINK.
Key facts
LINK rallied approximately 95% from around $7 to a high of $13.77 over about two months since a mid-August breakout.
95 %Reported by CryptoPotato
Ali Martinez flagged a TD Sequential sell signal on LINK's weekly chart.
Reported by CryptoPotato
Large holder transactions over $1 million dropped from roughly 59 to about 10 by September 7.
59Reported by CryptoPotato
1.75 million LINK moved onto exchanges.
1,750,000 LINKReported by CryptoPotato
Total LINK exchange balance rose from 269.25 million to approximately 271 million units.
271,000,000 LINKReported by CryptoPotato
Crypto Patel said the bullish outlook remains intact as long as LINK holds above the $10.87 higher-timeframe level.
10.87 USDReported by CryptoPotato
What happened
CryptoPotato reported that Chainlink's LINK token has rallied 95% from around $7 to $13.77 over roughly two months since a mid-August breakout, but an analyst named Ali Martinez has identified three potential red flags. Martinez flagged a TD Sequential sell signal on LINK's weekly chart, noted that large transactions over $1 million dropped from approximately 59 to about 10 by September 7, and found that 1.75 million LINK moved to exchanges, pushing the total exchange balance from 269.25 million to roughly 271 million units. Crypto Patel was cited as saying the bullish outlook remains intact as long as LINK holds above the $10.87 higher-timeframe level, with targets of $50 and $100 cited as long as that level holds. Michaël van de Poppe was also mentioned but his full view was cut off. The article noted the broader constructive setup despite near-term strain.
How the story developed
- Update
Large holder transactions dropped to about 10 by September 7
Down from roughly 59 over two weeks
- First report
First report by CryptoPotato
3 Red Flags Are Emerging for Chainlink After LINK’s Powerful 95% Rally
- Update
LINK rallied 95% from ~$7 to ~$13.77 over two months
Mid-August breakout through early September
- Update
Ali Martinez flagged TD Sequential sell signal on weekly chart
Cited as raising possibility of profit-taking after sharp climb
Affected entities
Original sources
| Publisher | Report | Role | Published |
|---|---|---|---|
| CryptoPotato Crypto media | 3 Red Flags Are Emerging for Chainlink After LINK’s Powerful 95% Rally | Original |
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