Chainlink Nears 2021 High as Institutional Adoption Grows

Generated by AI AgentCoin World
Saturday, Aug 23, 2025 12:26 pm ET2min read
Aime RobotAime Summary

- Chainlink (LINK) surged to a 2-year high above $26.70, driven by whale accumulation and institutional adoption.

- Whale holdings rose 27% to 5.47M tokens, while exchange-held LINK dropped to 270M, signaling reduced selling pressure.

- Institutional partnerships with JPMorgan, SWIFT, and Coinbase, plus a $3.8M Strategic LINK Reserve, boost credibility and demand.

- Technical indicators show a bullish cup-and-handle pattern, with analysts projecting potential $100 price targets by year-end.

Chainlink has surged to its highest price in over two years, with investors speculating about the emergence of a new institutional-driven cycle. The price of LINK rose above $26.70 in late August, signaling a potential one of the strongest monthly closes since 2021. This momentum is being fueled by whale accumulation, smart money inflows, and increased institutional adoption.

According to data from Nansen, whale holdings of LINK have grown by 27% over the past 30 days, reaching 5.47 million tokens [1]. This follows a steady increase from under 3 million tokens in the previous year. Meanwhile, experienced traders have been aggressively buying LINK, with smart money wallets purchasing more of the token than any other in the past week. The reduction in LINK held on exchanges—dropping from 280 million to 270 million this month—suggests a possible decline in near-term selling pressure as tokens are moved off centralized platforms [1].

Crypto analyst Crypto Bullet has commented on the strength of Chainlink’s weekly chart, suggesting the token could potentially reach $100 by the end of the year [1]. While such a projection is optimistic, it reflects the growing bullish sentiment in trading and social media circles.

On the technical side, Chainlink’s daily chart is forming a classic cup-and-handle pattern, considered a bullish formation. The price base has been forming around $10, with resistance near $30. If the pattern completes, it could project a breakout toward the all-time high of $51 [1]. Funding rate data from CoinGlass shows long positions have consistently paid short positions since June, indicating ongoing confidence in upward price movement. Open interest has also reached a record $1.58 billion, reflecting heightened liquidity and demand in perpetual futures [1].

Analyst Aylo noted that Chainlink’s monthly candle is approaching its highest close since 2021. He suggested that if this level holds, it could mark the beginning of what many call an “institutional cycle” [1]. This narrative is supported by Chainlink’s recent partnerships with major firms such as

JPMorgan
, SWIFT,
UBS
, and
Coinbase
.

In addition to on-chain momentum,

Chainlink
is advancing through institutional initiatives. The network launched the Strategic LINK Reserve, which now holds over 150,000 LINK, valued at approximately $3.8 million after a $1 million addition earlier this week. The reserve is funded by tokens generated from real-world services and fees [1]. The project has also secured compliance certifications such as ISO 27001 and SOC 2, aligning with banking sector standards and enhancing its credibility for tokenized asset and cross-bank settlement applications [1].

Despite recent profit-taking that pushed the price down 5% near $27, analysts suggest the continued expansion of the Strategic LINK Reserve and the project’s institutional partnerships could support long-term demand and investor confidence [1].

Source:

[1] Chainlink Rallies With Institutional Cycle Talk as Monthly Close Nears 2021 Peak — https://www.livebitcoinnews.com/chainlink-rallies-with-institutional-cycle-talk-as-monthly-close-nears-2021-peak/