$ 75 Billion Already Secured by Chainlink Network – Will the LINK Price Go Up?

The total value secured by the Chainlink network has officially exceeded $ 75 billion, marking a new milestone for a decentralized Oracle solution as well as a price data service for the rapidly growing DeFi sector.

With this milestone, Chainlink has become “one of the most valuable forms of decentralized consensus building on the planet”, according to co-founder Sergey Nazarov. It is also one of the fastest growing networks of all cryptocurrencies.

“2020 is a year of record growth for the Chainlink network. In the following you will find an overview of important metrics such as DeFi introduction, implemented research and blockchain integration. “

Source: Twitter

Chainlink, made up of independent Oracle nodes, was quickly integrated with several leading blockchains, including Ethereum, Binance Smart Chain, and Avalanche. DeFi applications based on these and other blockchains use the Chainlink Oracle network to operate their smart contracts and provide market data for on-chain financial applications.

Since the start of the mainnet in May 2019, Chainlink has started over 700 Oracle networks and thus secured over 600 million data points in 10 blockchains. The network introduced an average of 1.4 new partners per day in 2021.

The demand for Oracle services has grown exponentially with the introduction of DeFi. As measured by Total Value Locked (TVL), the DeFi sector is now worth more than $ 253 billion. When Chainlink launched its mainnet two and a half years ago, the industry didn’t exist.

DeFi has grown exponentially over the past two years. Source: Defillama

With the advent of “Metaverse” technology, marked by the renaming of Facebook to Meta, Nazarov is proud that Chainlink “has provided many Metaverse applications for DeFi, NFT and gaming”.

Chainlink uses the Cross Chain Interaction Protocol (CCIP) to connect different universes. CCIP “will use Chainlink’s oracles to allow users to move digital assets and execute smart contracts across different chains in the metaverse,” added Nazarov.

What about the price of LINK?

At press time, LINK is below the $ 33 mark, the immediate resistance. Once this key resistance is broken, it can be determined whether LINK will continue to rise or fall back as it did in September.

LINK stayed under $ 33. Source: TradingView

Since LINK’s move is somewhat isolated from the broader market, it is difficult to determine which direction the price will move.

Altcoins, however, have to depend on the growth of the network to see price increases on the chart. As a result, investors are not taking big strides right now.

In addition, retailers have entered the game with caution. For example, although over a million LINKs could be sold in the next 24 hours, most of them will be bought back, if not 100%.

This is probably the reason why the supply on the exchanges has steadily increased.

Provision of LINK on exchanges. Source: Santiment

At the time of writing, over 1.7 million LINKs in particular have been sold and 1.4 million tokens have been purchased.

Order book LINK. Source: Intotheblock

After all, whales were quite active throughout October, with an average volume of between $ 32 million and $ 38 million. Whales cannot be ignored as 65% of the LINK supply is in their hands.

LINK whale movement. Source: Santiment

With the top 1% of addresses holding 86% of the total LINK offering, retailers don’t have much of a chance of significantly changing the movement of the asset.

Top 1% owners of LINK. Source: Glassnode

Therefore, if investors don’t take strong steps, LINK will still depend on a combination of factors to move up.

Join Bitcoin Magazine Telegram to keep track of news and comment on this article: https://t.me/coincunews

Annie

According to AzCoin News

Follow the Youtube Channel | Subscribe to telegram channel | Follow the Facebook page