Chainlink is back in the game: 44% growth in a week and expectations of a second rally

Chainlink is back in the game: 44% growth in a week and expectations of a second rally

The cryptocurrency world is buzzing again! Chainlink (LINK) has seen a staggering 44% growth over the past seven days, sparking not only excitement among traders but also speculation about the possible start of another major growth cycle. Analysts and long-time supporters of the platform believe that something big could be happening right now — and some even claim that LINK is the most significant opportunity of this cycle that most people are overlooking.

Bullish sentiment is forming

Cryptocurrency trader Johnny, who has over 860,000 followers on social media, posted on Wednesday that LINK is "ready for round two" of growth. According to him, this week is crucial, especially after reaching $24.60, a level he described as an important threshold for further growth.

"LINK looks ready for round two," Johnny said in his commentary, pointing to the market's "bullish setup." Analysis from Santiment confirms that Chainlink has seen its highest level of bullish momentum since early February, when its price hovered around $24.00.

Development and potential

Over the past month, the price of LINK has increased by 54%, which is a sign that investor interest is growing. At the time of writing, it was trading at around $24.00. Although it is still more than half away from its all-time high in May 2021 ($52.88), it remains among the top 20 cryptocurrencies on the market. These include Stellar (XLM), Hedera (HBAR), and Litecoin (LTC), which have not yet reached their maximum values from the previous cycle.

However, many traders are waiting for these cryptocurrencies to reach their record prices again before selling them at a price that will cover their costs. Others, however, believe that the price may continue to rise.

Optimists believe in further growth

Miles Deutscher, an experienced cryptocurrency trader, pointed out Chainlink's potential as "the most visible big money play of this cycle." According to him, this is because LINK is "the winner of cryptocurrency institutionalization, explosive growth of stablecoins, tokenization, and RWA (real-world assets)."

Recently, Chainlink has been actively involved in significant projects, such as its collaboration with the US company Intercontinental Exchange (ICE), which is part of the Fortune 500. This collaboration is expected to bring data on foreign exchange markets and precious metals directly to the blockchain, which could be a key step towards further expansion.

In addition, Chainlink co-founder Sergey Nazarov recently stated that asset tokenization will accelerate the movement of capital in traditional markets and increase the speed of fund transfers across different asset classes, such as government bonds, stocks, private loans, and real estate.

What lies ahead?

Despite the current growth, it should be noted that LINK is still 55% away from its all-time high in 2021. However, some analysts and traders believe that the potential for further growth is still real — and that now is the perfect opportunity to watch how this cryptocurrency will develop.

Only time will tell whether this rally will become a long-term trend or just a short-term spike. One thing is certain, however: Chainlink is back in the spotlight and could be one of the main drivers of the current cryptocurrency cycle.

Follow the developments and remember that investing in cryptocurrencies involves risk. Be prepared for possible fluctuations and always thoroughly verify the information.

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*This is not investment advice.

The Coingarage Team