- The Chainlink price shows a sustained correction trend within the formation of a falling channel pattern.
- Grayscale’s new Chainlink spot ETF (ticker GLNK) registered a strong debut in Tuesday’s session.
- The relative strength index (RSI) back above the 60% mark accentuates a renewed recovery momentum in price
LINK, the native cryptocurrency of the decentralized Oracle Network Chainlink, jumped 6.6% on Wednesday and reached a trading value of $14.37. Along with the renewed recovery momentum in the broader crypto market, the Chainlink price gained additional traction due to the outstanding response from investors to Grayscale’s spot LINK ETF (GLINK). The exchange-traded fund brought significant inflows and trading value on its debut, accentuating Chainlink’s demand in the traditional market.
Grayscale Chainlink ETF Logs Strong Opening Metrics
The Grayscale spot Chainlink ETF with the ticker GLNK had a notable entry with trading activity and inflows on Tuesday. Data provided by Bloomberg ETF analyst Eric Balchunas showed the fund’s first-day volume of $13 million, breaking historical levels for its predecessor trust format. He noted that it “could see the same again today,” with sustained interest in the early trading hours of Wednesday.
Inflows for the first session totaled about $41 million, according to Balchunas, making it a fast-mover in the wake of the recent introduction of cryptocurrency ETFs. This number is very close to that of Bloomberg’s James Seyffart, who reported “~$42 million” in net creations to bring total assets under management to $64 million by the end of the day.
Seyffart came away from the performance describing it as “very good for a new launch,” with a lot of good volume without calling it a huge outlier. He saw how Chainlink, as a “longer tail asset,” shows viability in the ETF structure, extending the appeal beyond the top-tier cryptocurrencies.
Balchunas put the rollout into the context of larger crypto ETF trends, calling it “another insta-hit from the crypto world,” while pointing back to the Dogecoin product as the only underperformer so far, but “it’s still early.” The Chainlink fund’s statistics are indicative of increasing investor activity in exposure to altcoins through regulated vehicles; this is building on the patterns observed in the launches of Bitcoin and Ethereum.
Chainlink Price Sparks Fresh Recovery Cycle
In the last two days, the Chainlink price has shown a sharp rebound from $11.98 to the current trading price of $14.44, registering a 20% gain. Interestingly, the upstream is positioned at the support of a long-coming ascending trendline, accentuating a pivot level for LINK coin.
Historically, a reversal from this dynamic support has often recouped the exhausted bullish momentum and driven a sustainable recovery. A look at the daily chart also displays the formation of a key reversal pattern called a double-bottom at $12 support. With today’s uptick, the Chainlink price gave a decisive breakout from the pattern’s resistance trendline at $13.60.
With sustained buying, the Chainlink price could surge another 12% to challenge a key resistance at $13.60. The momentum indicator RSI at 53% accentuates a positive shift in market sentiment to bolster further recovery.
On the contrary, if sellers continue to defend the technical resistance from the channel pattern, the current correction will be prolonged.
Source: https://www.cryptonewsz.com/chainlink-price-etf-debut-renewed-demand/
