The price of Chainlink has recently established a double-bottom formation, signaling a potential upward movement following Swift’s significant announcement regarding its tokenization initiative.
Key Highlights:
Chainlink’s cryptocurrency price created a double-bottom pattern.
Additionally, it developed a falling wedge, which is commonly recognized as an indicator of trend reversal.
The network stands to gain considerably from Swift’s efforts in tokenizing assets.
The LINK token experienced an increase of 5.5%, reaching $12.58, alongside a 20% surge in its 24-hour trading volume. This uptick came after the development team revealed their collaboration with over thirty banks to develop a blockchain ledger aimed at supporting tokenized assets integrated with current financial infrastructures.
In their own words: “We’re progressing on integrating a blockchain-based ledger into our infrastructure by partnering with more than 30 global banks to co-design this ledger.” Thierry Chilosi emphasized the importance of collective effort to achieve scalability and efficiency within this project.
This declaration holds substantial weight since Swift remains one of the foremost organizations within the financial services sector globally. Its messaging platform connects upwards of 11,500 institutions across more than two hundred countries.
Swift reportedly handles cross-border payments exceeding $150 trillion annually. Consequently, the newly planned ledger system will have immediate access to vast volumes of tradable assets upon deployment.
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Chainlink is positioned as one of the primary beneficiaries due to its longstanding partnership with Swift; Chainlink’s technology will underpin aspects of this new infrastructure.
Moreover, Chainlink maintains alliances with several firms involved in Swift’s ecosystem such as DTCC, Euroclear, UBS, Standard Chartered Bank, and ANZ Banking Group.
Concurrently, Chainlink has been actively increasing its LINK holdings for strategic reserves by acquiring over ninety-two thousand tokens during this week alone—bringing total reserves up to approximately 1.23 million tokens valued at around $15.3 million—a notable figure considering that Chainlink was launched only recently in August.
Technical Perspective on Chainlink Price Movement
From a technical standpoint analysis indicates that LINK might experience further gains soon.
It formed a double-bottom near $11.77 followed by resistance at roughly $15—the highest point observed during this month so far.
This double-bottom emerged subsequent to forming an extensive falling wedge pattern characterized by two descending converging trendlines signaling possible bullish reversal potential.
If LINK sustains above support at approximately $11.77 (the lower bottom), it could trigger upward momentum targeting resistance near $15—representing nearly twenty percent upside from current levels.
However if prices fall below about $11.7 support zone then optimistic forecasts would be negated resulting in bearish outlooks prevailing instead.
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