Last week, Chainlink was largely dormant. Because of its low correlation with Bitcoin at the time, the king coin’s increase did not result in a rally for the altcoin. However, the tides have shifted this week, and LINK holders are ecstatic when compared to last week.
When LINK was consolidating last week, investors were also relatively quiet. And their lack of activity was expected to work in their favor in the coming days, and it did.
LINK’s price increased by 22% in just 5 days. The market boomed as a result of this selling and buying, and over 25.7 million LINK worth well over $7.7 billion were bought and sold. As a result, spot market volumes increased and remained above $500 million for three days.
Even better, profitable addresses increased by 16 percent – approximately 100,000 addresses – during the same time period. Furthermore, over 8 million LINK worth $240 million profited during that time period.
In light of the aforementioned positive developments, some wealthier cohorts also benefited from this increase. In doing so, transactions worth more than $100,000 increased by 156 percent on the charts.
Furthermore, some optimism stemmed from the start of the month-long Chainlink Fall Hackathon, which began on October 22. As a result, the network’s value increased significantly. In fact, it is now at its highest level in more than ten months.
Aside from that, it appears that investors have decided to continue to HODL. This assertion is also supported by the decrease in LINK’s velocity.
After nearly a month, the correlation between LINK and BTC has also recovered and is now around 0.71. While this may appear to be good news, it can also be harmful.
Following BTC, the altcoin recently dropped by nearly 5%. And, if the current trend continues, this week’s realized profits will be reversed. Especially since the previously mentioned price drop had already negated the profits realized.