Chainlink's LINK Tumbles 4% as Selling Pressure Mounts

The native token of oracle network Chainlink LINK$21.80 encountered substantial institutional selling pressure over the 24-hour trading session, tumbling to its weakest price in more than a week.

LINK tumbled 4% to a session low of $21.30, reversing over 8% from Monday's local high, CoinDesk data shows. The decline happened in line with weakness in the broader crypto market. The CoinDesk 20 Index, a benchmark for that broader market market, was also down around the same amount.

Meanwhile, the Chainlink Reserve, a facility that purchases tokens on the open market using income from protocol integrations and services, kept its weekly habit, buying another 45,729 LINK worth nearly $1 million on Thursday. The reserve currently holds nearly $10 million worth of tokens.

Thursday's decline, however, meant that the vehicle is now underwater with LINK trading below the average cost basis of $22.44, the dashboard shows.

Chainlink Reserve activity (Chainlink)

Key technical indicators

CoinDesk Research's technical model pointed out bearish momentum, underscoring the weakening investor sentiment.

• The token's trading range expanded to $1.05, representing 5% volatility between the session low of $21.53 and peak of $22.68.
• Technical resistance materialized at the $22.68 level, where the token reversed course on exceptionally heavy volume of 1,981,247 units.
• Additional resistance formed at the $21.92 level.