Chainlink (LINK) is picking up momentum after being a part of a sluggish month for cryptocurrency in February. The altcoin is recovering in price, with LINK up 6% on Tuesday, trading just over $13.50. The asset had previously surged after US President Donald Trump announced plans for the country’s first crypto reserve. Although LINK was not named, the president noted that it would include “other valuable cryptocurrencies” to purchase to make up the reserve.
For Tuesday, LINK’s Long/Short ratio shows buyers’ dominance, indicating the bullish sentiment in the market. Bulls are sending the price up by buying supply in bulk. Their sentiment hints that bulls seem confident a deeper decline is unlikely despite a brief pullback this past weekend. This can also be observed in Chainlink LINK’s trading volume, which is up 28% in the last 24 hours to $878.52M.
Long Buyers Beating Out Short Sellers for Chainlink
Furthermore, according to Coinglass, the Chainlink Long/Short ratio, which measures investor sentiment in the market, has risen to $1.38. As the name implies, the ratio compares the number of short sellers (bears) to the long buyers (bulls). The ratio below 1 indicates that short positions are dominant, and most traders expect the price to decline. On the other hand, a reading above 1 indicates the dominance of longs. Thus, there is strong optimism that LINK will look towards reclaiming $14 in the coming days, and possibly higher once March ends.
As Spring is set to spring in the US, altcoin season may also finally be upon us. From now until May, experts project the crypto market to begin a steady incline, led by altcoins like XRP, Chainlink, and more. This momentum may be fueled by increased belief that these coins will feature in a potential crypto reserve held by the US Government. Crypto trader Nicu shared on X (formerly Twitter) that insiders believe Chainlink’s Proof of Reserves is being integrated into the strategic reserve. This would enhance transparency and security for the US reserve. Chainlink blockchain verification technology is a leader in this technology sector. The potential integration into national reserves would be a major milestone, and send the native LINK cryptocurrency skyrocketing.
Also Read: Top 3 Cryptocurrencies That May Hit New Highs Post ETF
Cryptocurrency price predictor CoinCodex forecasts Chainlink LINK to hit above $14 by the end of March, reaching a high of $14.10. The site suggests if you invest $ 1,000.00 in Chainlink today and hold until May 10, 2025, you could see a potential profit of $ 424.95, reflecting a 42.49% ROI over the next 59 days (fees are not included in this estimate).
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