Chainlink (LINK) has continued its strong rally, reaching a high of $30, its highest level since November 2021. This significant increase in price is largely attributed to several favorable factors that could drive further gains in the near term.

Partnerships and Collaborations

One of the key drivers of Chainlink’s recent success is its partnership with Donald Trump’s World Liberty Finance. The company selected Chainlink as its oracle provider and acquired 78,387 LINK tokens valued at over $2.3 million. Additionally, Hedera Hashgraph, a popular layer-1 network, has chosen Chainlink as the provider of its oracles to boost its Decentralized Finance and Real World Asset tokenization adoption.

Chainlink is also collaborating with Swift Society, one of the world’s most significant payment networks. Swift, which processes over $150 trillion in annual transactions, aims to leverage Chainlink’s Cross-Chain Interoperability Protocol to streamline global cash transfers. Other notable partnerships include those with Emirates NBD, Coinbase, and UBS, the world’s largest wealth manager.

Market Share and Investor Sentiment

Chainlink’s market share continues to grow, with the total value secured in its network surpassing $40 billion. This figure makes Chainlink larger than the next 10 oracles combined. Furthermore, data shows that more Chainlink investors are moving their tokens to self-custody, as the number of tokens on exchanges has dropped to 255.8 million. Token outflows from exchanges are typically a sign of reduced selling pressure.

Technical Analysis

The weekly chart shows that LINK has been in a strong bullish trend over the past few months. It has broken past the key resistance level at $22.80, its highest point on March 11 this year. Chainlink has also moved above the overshoot level of the Murrey Math Lines and is trading above the 50-week and 25-week moving averages. The Relative Strength Index is also pointing upwards.

Potential Price Movement

Based on the current technical analysis, the most likely scenario is that Chainlink’s price could rise by 80%, reaching its all-time high of $54. This prediction is supported by the following factors:

  • Strong bullish trend over the past few months
  • Break past key resistance level at $22.80
  • Trading above 50-week and 25-week moving averages
  • Relative Strength Index pointing upwards

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