- Chainlink price climbed after ETF inflows returned and on-chain activity showed stronger network participation.
- Rising futures interest and improving technical signals now support a bullish outlook for LINK.
Chainlink (LINK) is showing renewed strength after a strong recovery this week. The token climbed nearly 10% and pushed above important resistance levels, giving bulls more control over the market. Rising ETF inflows, growing network activity, and increasing trader interest are all supporting the latest move higher.
Institutional Interest Returns to Chainlink
Institutional demand for Chainlink has started to recover after a quiet period. Recent data showed that spot LINK ETFs recorded more than $500,000 in inflows on Wednesday. This marked the first notable movement after nearly two weeks of limited activity.
The return of ETF inflows suggests that investors are slowly rebuilding confidence in LINK. If these inflows continue over the coming days, buying pressure could increase further.
Another major development came from State Street Investment Management and Galaxy Asset Management. The firms launched the State Street Galaxy Onchain Liquidity Sweep Fund (SWEEP), a tokenized liquidity fund powered by Chainlink technology.
The fund uses Chainlink’s NAVLink system to provide on-chain Net Asset Value data. It also relies on Chainlink’s Cross-Chain Interoperability Protocol (CCIP) to support communication between blockchains. This move highlights how financial institutions continue exploring Chainlink’s infrastructure for real-world blockchain use cases.
On-Chain Activity Shows Strong Network Growth
Chainlink’s on-chain data has also improved steadily since early May. Metrics such as daily active addresses, transaction volume, and network growth have all moved higher.
The increase in active addresses suggests that more users are interacting with the network. At the same time, higher transaction volume points to stronger market participation.
Growing network activity often supports price strength because it reflects rising demand for the ecosystem. This trend has helped improve the overall outlook for LINK in recent days.
Futures Market Signals Rising Trader Confidence
Data from CoinGlass also shows increasing interest from derivatives traders. Chainlink futures open interest climbed from around $366 million on Sunday to nearly $496 million on Thursday.
Higher open interest usually means new money is entering the market. It also shows that traders are opening fresh positions instead of closing existing ones.
This increase in futures activity supports the bullish outlook, especially while the price continues trading above important support zones.
Chainlink Price Prediction
Chainlink is trading around the $10 level after reclaiming both the 50-day and 100-day Exponential Moving Averages. This signals improving short-term strength for the token.
The next important resistance sits near $10.77. If bulls break above that level, LINK could target the $11.50 to $11.63 region, where stronger resistance currently stands. A larger breakout could open the door toward $12.07 and eventually $12.85.
On the downside, immediate support remains near $9.92 and $9.84. If selling pressure increases, LINK may revisit support around $9.29 before testing lower levels near $8.86.
Technical indicators still support a bullish outlook. The Relative Strength Index continues rising toward overbought territory, while the MACD indicator remains positive. Both signals suggest buyers still hold near-term control.
Can LINK Continue Its Recovery?
Chainlink’s latest rally appears to be backed by more than short-term speculation. Institutional inflows are returning, on-chain activity is improving, and futures traders are increasing exposure.
While resistance levels remain ahead, current market conditions show growing confidence around LINK. If network growth and ETF demand continue rising, Chainlink could maintain its recovery trend in the coming weeks.
ALSO READ: Chainlink CCIP Explained: How Secure Cross Chain Infrastructure Powers Onchain Finance
DISCLAIMER:
The views and opinions expressed herein are solely those of the author and do not necessarily reflect the views of the publisher. The publisher does not endorse or guarantee the accuracy of any information presented in this article. Readers are encouraged to conduct further research and consult additional sources before making any decisions based on the content provided.