January 26, 2023

  • Chainlink witnessed massive volatility after the launch of its staking protocol
  • Interest in strike gradually waned as selling pressure took over

Chain link witnessed quite a bit of volatility in its $9.35 to $5.59 price range. This happened because of the launch of strike on Chainlink. However, according to Sanitationinterest in staking eventually dwindled after half the community pool for staking LINK was filled.

Read Chain links [LINK] Price forecast 2023-2024

At the moment of writing, Chain link supplied his strikers with it 4.75% in terms of pay rate. Notably, nearly 50% of the community pool was filled at press time. The amount of LINK deployed has decreased since the time of launch. This clearly indicates a decrease in the interest and hype of the LINK token.

Buy the announcement and sell the launch?

Another sign of declining interest was seen in Chain links volume. The difference between volume and price had widened considerably after the announcement of strike on Chainlink.

The price witnessed a drop after launch. LINK holders could fall victim to further selling pressure if the trend continues.

Source: Sentiment

The plot thickens

However, Chain link’s social activity remained high. According to Lunar Crush, Chainlink’s social mentions reached an all-time high. It remains to be seen whether this spike in social mentions will translate into positive price action for LINK in the coming future.

Despite the spike in social mentions, Chainlink failed to generate much interest from new addresses. As shown in the image below, Chainlink’s network growth has slowed significantly over the past few days. This showed that the number of new addresses transferring LINK for the first time has decreased.

However, activity on Chainlink increased during this period. Chainlink’s speed metrics noted an increase. This implied that the frequency with which LINK was traded had increased enormously. In addition, the daily active addresses on the network trended, indicating the growth in activity.

Source: Sentiment

Meanwhile, on December 7, Chainlink announced that they would integrate their Proof of Reserve technology for FluentDAO, a bank-led stablecoin protocol.

At the time of going to press, Chainlink was trading at $6.87 and the price was down 0.67% in the past 24 hours.

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