ChainLink Rebounds 21% as LINK Becomes Oracle of Choice for Blockchain
Chainlink (LINK) maintained its upward momentum on Saturday morning with a 21% surge – just days after losing 41% of its value amid the crypto market crash.
When Chainlink’s adoption by Google helped the token price to a new all-time high in June, one could have been forgiven for assuming LINK had just peaked for the year.
That could still prove to be the case, but in the last few days another three blockchain projects have adopted Chainlink tech for use in their own ecosystems. At the same time, more node operators have elected to run LINK nodes, while the Chainlink team has sent out numerous job adverts as it is now forced to expand the scope and scale of its operation.
Chainlink Grows In More Ways Than One
The month of June changed everything for Chainlink, as it surged 71% in one day following news that Google had been experimenting with its tech. A couple of weeks later Coinbase announced it would be listing LINK, triggering another surge. By the time the smoke cleared, LINK had climbed from a price of $1.14 up to an ATH of $4.54 in the space of thirty days.
So investors piled on LINK, but what about developers? A glance at Chainlink’s announcements from the past few days alone suggests it’s not just traders who were attracted by the LINK hype.
On July 9th, Neblio (NEBL) – a 259th ranked dApp platform – was announced as having adopted Chainlink’s oracles. As noted:
“@NeblioTeam will integrate Chainlink oracles on its Enterprise Blockchain Platform to provide trusted data for applications in IoT, commerce, supply chain, healthcare, finance, and more!”
A day later, the recently launched Ampleforth (AMPL) joined the club. Ranked 1,940th by market cap, Ampleforth is described as having an elastic supply policy. When the demand for AMPLE tokens fluctuates on the open market, so too does the amount of AMPLE held by a user. Chainlink will be the oracle which draws price/demand data from the open market to inform Ampleforth’s supply.
Hiring Spree – LINK/USD
By July 11th, the 145th ranked IoTeX (IOTX) had picked up Chainlink’s oracles for use in its own smart contracts. All of this adoption coincides with an effort to expand the scale of operations at Chainlink HQ. Recently, calls went out for new software engineers, product managers, a new head of design, and new legal staff.
In other words, Chainlink is bullish on Chainlink. The question for short-mid term traders is whether LINK will return to the $4.50 range it hit just two weeks ago. Saturday morning’s 21% rebound looks encouraging, but history tells us that what goes up must eventually come down.
That said, after launching on Coinbase Pro at the start of the month, LINK is already being traded against the dollar at volumes of $23 million. In fact, OpenMarketCap reports Chainlink as the 6th most traded cryptocurrency in the world right now (although, even these numbers aren’t 100% reliable).
On Saturday morning, LINK surged from a price of $2.67 up to $3.24, marking 21% gains, and leaving it ranked 16th by market cap.
Disclaimer: The author owns Bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.
Featured image courtesy of Shutterstock. Chart via CoinMarketCap.