$LINK CHAINLINK Officially Found Bottom & Starting A Reversal Why LINK investors might be sitting on a goldmine thanks to proof of reserve
It is often difficult to find winners in the crypto market during a major crash but Chainlink might be it.
Even though its native currency LINK suffered significant downside so far this month, the Chainlink network
continued to see wins as a potential solution. Chainlink can facilitate the proof of reserve which might be the
ideal solution that may help solve some of the cracks unveiled during 2022’s market crash. Chainlink proof of
reserve may help overcome systemic financial risks, as well as contagion risk. Chainlink as an oracle services
provider stood in a position to help facilitate a large-scale adoption of proof of reserve.
Additionally, looking at the current scenario of the market, it could be considered as more of a necessity than
an option. The good thing is that it also offers an opportunity for the market to adapt and grow from recent
challenges. The need for large-scale proof of reserve adoption further outlines an opportunity for Chainlink’s
adoption. It underscores yet another reason why Chainlink’s offerings continue to add value and why the
network has robust long-term potential. Healthy long-term adoption might contribute to more value for LINK.
Chainlink did register healthy growth in the last 30 days.
For example, its supply of LINK held in smart contracts grew substantially during the last four weeks. The same
was observed for its velocity. Both the velocity and supply of LINK in smart contracts dropped significantly in the
last five days. This reflected the impact of last week’s crash on Chainlink’s performance. But will we see a recovery
this week? One of the best ways to assess demand was to look at the balances of top addresses. LINK’s supply of
top addresses registered a sizable drop in the last five days.
However, the good news was that the whales/top addresses are no longer selling. Regardless, we were yet to
see a return of strong buy pressure. Chainlink’s transfer volume also took a bit of a hit in the last few days.
Investors should thus, keep an eye out for the transfer volume to pivot as a confirmation that demand recovery.
Chainlink is a potential game-changer that investors have a keen eye on. The project was launched as an
avant-garde solution to streamline off-chain blockchain projects and transform them into on-chain platforms.
There is no question that LINK has opened a new world of possibilities regarding the intricate world of web3
development. As the company provides curated and in-demand solutions, it’s no surprise that top-tier names
such as Google Cloud, Polygon, and Aave have wholeheartedly embraced that project. Investors and analysts
are confident that Chainlink is on remarkable growth trajectory steering into 2023.
Expect New Alltime Highs Soon!
