Chainlink price eyes rebound as LINK ETF nears $50m milestone as whales buy

The main catalyst for the Chainlink price is that the top LINK ETF has been received well by market participants. Data compiled by SoSoValue shows that the spot LINK ETF had inflows in all days since it was launched.

The fund had over $48 million in assets, bringing its assets to over $70.6 million, representing 0.75% of its market capitalization. This means that it has more gains to go in the coming months as it targets the 5% value that Bitcoin and Ethereum have.

Meanwhile, there are signs that the supply of LINK tokens in exchanges has continued falling in the past few months. Data shows that the supply stands at 218 million, down from the November high of 264 million.

LINK exchange supply | Source: Nansen

At the same time, whales have continued accumulating their tokens. Data shows that these whales now hold 3.56 million tokens, up from 1.73 million tokens in November, a sign that demand is soaring.

Mode data shows that the Chainlink team is continuing to accumulate tokens as part of the Strategic LINK Reserves. The amount of tokens in these reserves has jumped to 1 million, worth about $14.7 million, a few months after launch.

Strategic LINK reserves assets | Source: Chainlink

Chainlink started accumulating the tokens in August, channelling the fees it makes from the network to these purchases.