Chainlink's price fell slightly on Tuesday after rising more than 33% the previous day. Chainlink on Monday announced a partnership with 21x for Europe's first tokenized securities trading and payment system. On-chain data suggests further gains to come as LINK's daily trading volume and number of active addresses reach record levels.
Chainlink (LINK) price rose 33% on Tuesday, driven by a partnership with Frankfurt-based fintech 21X for Europe's first tokenized securities trading and payments system. It fell slightly to about $25.50. Technical outlook and on-chain indicators suggest further gains to come as LINK's daily trading volume and number of active addresses reach record levels.
Chainlink announces partnership with 21X
Chainlink announced on Monday that Frankfurt-based fintech company 21X has adopted the Chainlink standard, adding to the project's growing list of partnerships and integrations. The announcement sent Chainlink's price up more than 33% on Monday.
“We are pleased to announce 21X, Europe’s first tokenized securities trading and payment system,” Chainlink said in a Twitter post on Monday.
LINK’s on-chain indicators show a bullish outlook
Digging deeper into on-chain metrics supports LINK’s bullish outlook. Santiment's Daily Active Address Index, which tracks network activity over time, rose from 4,999 on Sunday to 138,851 on Tuesday, its highest level since mid-January 2023. This shows that demand for LINK's blockchain usage is increasing, which bodes well for Chainlink's price outlook. .
Chainlink daily active address graph. Source: Santiment
Another aspect supporting the bullish outlook for the platform is the recent increase in trader interest and liquidity in LINK Chain. LINK's daily trading volume on Monday reached $12.15 billion, the highest daily trading volume so far this year, according to Token Terminal data.
LINK daily trading volume chart. Source: Token Terminal
Chainlink Price Prediction: Bullseye $38
Chainlink's price rose 5.6% last week, ending above the uptrend line drawn by connecting multiple weekly highs from early November 2021. The uptrend expanded earlier this week, with the stock up 36.5% by Tuesday and breaking through weekly resistance at $22.56. .
If LINK price continues to rise, the rally could extend by 54% and retest the November 2021 high of $38.31.
The Relative Strength Index (RSI) on the weekly chart is 73, trading just above the overbought level of 70. Traders need to be careful as prices are likely to fall. Still, the RSI is still on the upside, so it is likely that the rally will continue and the indicator will remain above the overbought level.
LINK/USDT weekly chart
