Can Chainlink [LINK] maintain its bull run? Here’s what the metrics say

On Feb 21, 2023

Chainlink reported nine new adoptions across six chains.
Metrics supported the massive weekly uptick, and indicators remained in support of the bulls.

Chainlink’s [LINK] adoption has been on the rise for quite some time, with new integrations happening each week. In its latest adoption update, the network mentioned that in the last few days, there have been nine adoptions of three Chainlink services across six chains. These include BNB Chain, Arbitrum, Avalanche [AVAX], Ethereum [ETH], Polygon [MATIC], and Solana [SOL].

⬡ Chainlink Adoption Update ⬡
This week, there were 9 integrations of 3 #Chainlink services across 6 different chains: #Arbitrum, #Avalanche, #BNBChain, #Ethereum, #Polygon, and #Solana.
Chainlink helps power the multi-chain ecosystem. pic.twitter.com/035enzFfLP
— Chainlink (@chainlink) February 19, 2023

Similar to increased adoption, LINK’s price also registered gains over the last seven days. As per CoinMarketCap, LINK’s price increased by over 25% in the last seven days, and at the time of writing, it was trading at $8.22 with a market capitalization of over $4.1 billion.

The promising price helped LINK remain a top choice among whales at press time. WhaleStats, a popular Twitter account that posts updates related to whale activity, revealed that on 20 February, LINK ranked third on the list of the cryptos being held by the top 500 Ethereum whales.

🐳 The top 500 #ETH whales are hodling
$665,917,193 $SHIB
$209,169,691 $MATIC
$155,499,328 $LINK
$146,616,720 $BEST
$143,482,510 $CHSB
$138,911,939 $BIT
$100,127,340 $UNI
$76,832,643 $MANA
Whale leaderboard 👇https://t.co/tgYTpOm5ws pic.twitter.com/F2lpULqiFP
— WhaleStats (tracking crypto whales) (@WhaleStats) February 19, 2023

Metrics backed the price surge!

LINK’s metrics suggested that several things went in the token’s favor, which might have played a role in its double-digit surge last week. For example, LINK’s Binance and DyDx funding rates remained consistently high, indicating demand from the futures market.

LINK’s network growth also remained up throughout the last week, which was a positive signal. Things remained comfortable on the social front too, as LINK’s social dominance spiked.

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Source: Santiment

CryptoQuant revealed that LINK’s net deposits on exchanges are low compared to the seven-day average, which was bullish as it indicated less selling pressure. The number of active addresses on Chainlink was also increasing, indicating an increase in network users.

Moreover, Dune pointed out that LINK’s popularity of DEXs increased as its trading volume in DEXs went up over the last few weeks.

Will the surge continue?

Inmortal, a Twitter-based crypto analyst, mentioned that bulls could expect a comfortable rally if LINK touches the $9 mark. However, CryptoQuant’s data pointed out that LINK’s price was in an overbought zone, which minimized the chances of a continued uptrend.

Additionally, LINK’s Chaikin Money Flow (CMF) registered a massive uptick and was heading further above the neutral mark, which is a bullish signal. Besides, the MACD also revealed a bullish advantage in the market, suggesting a continued uptrend in the coming days. However, the Money Flow Index (MFI) was in the overbought zone, which could bring trouble.

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Source: TradingView

This article originally appeared here.