Chainlink Price News: LINK Eyes $30 as Total Value Secured Doubles in a Year

Chainlink (LINK) is the best-performing asset of the top 10 in the past 7 days as the token has produced gains of 44.7% during this period.

The protocol has secured several partnerships this year as interoperability and tokenization have become two major trends. Many networks have made it a priority to improve how they communicate and create secure bridges with other blockchains.

In addition, large corporations including asset management firms like BlackRock see huge potential in tokenizing real-world assets (RWA).

Chainlink is at the intersection between traditional financial and blockchain technology as its solutions provide on-chain access to off-chain data via price oracles while the Cross-Chain Interoperability Protocol (CCIP) enables the communication of different blockchains.

As per the project’s website, many top-notch blockchain projects like Arbitrum, Base, BNB Chain, Polygon, and Ethereum rely on the CCIP to connect with other ecosystems.

Chainlink’s TVS Reports 140% Jump in 12 Months

To measure Chainlink’s growth, the market tracks a metric called total value secured (TVS), which analyzes the total amount locked within smart contracts that interact with one of the project’s solutions.

In the past 12 months, the TVS metric has increased by 140% from $35.2 billion to $84.7 billion at the time of writing.

Chainlink’s Total Value Secured (TVS) – Source: Chainlink Website

This indicates that Chainlink’s solutions are being rapidly embraced and adopted by blockchain projects.

As blockchain technology becomes progressively adopted by large companies in the financial industry, Chainlink has established its lead as a major infrastructure provider for the next era.

In our previous Chainlink price prediction, we emphasized that the odds of a bullish breakout above the $20 were high at the time. In just 4 days, that prediction came to fruition and has already delivered gains of 19.4% for those who bought back then.

Meanwhile, trading volumes for LINK in the past 24 hours have increased by 50% to $1.9 billion – currently accounting for more than a tenth of the token’s circulating supply.

LINK/USD Daily Chart (Coinbase) – Source: TradingView

Looking at the daily chart, we got a clean breakout of the $20 level and the price now seems headed to the target we set forth in our latest prediction at $25-$26.

The Relative Strength Index (RSI) has entered overbought levels, indicating that the uptrend’s strength is at a high point. With trading volumes on the rise, FOMO could kick in and push LINK to $30 easily and in a heartbeat.

Trading Volumes Favor a Much Bigger Move

In the past 4 days in a row, volumes have exceeded the $1 billion threshold. This is unusual and indicates that buying pressure is strong at these levels and following the latest developments concerning the project.

This rally coincides with the launch of the Chainlink Reserve, a strategic treasury built with the off-chain revenue collected by the protocol through deals. Back when this announcement was made, the project highlighted that they had already accumulated $1 million worth of LINK tokens.

Chainlink does not expect to withdraw funds from the reserve. Hence, LINK tokens included in this strategic stockpile will be taken out of the market and shrink the asset’s free float.

If the market’s bullish sentiment toward LINK continues, we could soon see the token rise to $30. This move would be confirmed by a bullish breakout of the $26 area, followed by a brief pullback.