LINK - Staking is live

Assets covered: $LINK

Metrics used: Price, Supply on Exchanges, Supply Distribution, MVRV 30D,


Chainlink just launched their staking v0.1 early access, let's take a look at how things went.


LINK price action - Sanbase

LINK's trading volume have fallen off quite a bit ever since early November. Although, there was some excitement when updated details of staking emerged on 22nd Nov, driving prices higher but eventually fizzed out.

A price/volume divergence could be seen as staking drew closer, suggesting waning demand for LINK. Those that wanted to get in, already did.

Chainlink staking

Chainlink staking opens - Chainlink

Since launch, almost half the community pool has been filled, with majority of LINK coming in within the hour of staking launch according to the contract's historical balance.

LINK staking contract historical balance - Sanbase

Momentum seems to have slowed down quite a bit. In the beginning, addresses were mostly maxing out the initial staking upper limit of 7,000 LINK.

LINK staking at the start - Etherscan

But now, it's mostly smaller amounts.

LINK staking now - Etherscan

Supply on exchanges

Supply on Exchanges - Sanbase

Interestingly, when Chainlink announced new staking details, it marked the local bottom and saw a huge spike in Supply on exchanges.

Price didn't falter either, even with the huge supply. Seems like someone knew that the update would see increased demand for LINK and was using this opportunity to patiently distribute LINK.

Who could this be?

Chainlink treasury distributing LINK? - Etherscan

Looking at the top transactions on that date, it seems that an address associated with the Chainlink treasury moved LINK to Binance during then.

Welcome new LINK community members.

Supply distribution

Supply Distribution - Sanbase

Whale addresses have been on a decline since 22nd Nov while retail addresses have grown. This could be due to a few possibilities:

  1. Whales upon finding out the initial staking limit is 7,000 link decides to split its huge stash
  2. Retail actually accumulating LINK while whales distributed.

#2 can be observed in Supply on Exchanges section.

LINK MVRV 30D - Sanbase

LINK's MVRV 30D which measures the short-term profit/loss of holders is showing that we have just topped out in the Danger Zone, where historically saw APE’s price decline shortly after as a local top form, and making our way slowly into the Opportunity zone.


Disclaimer: The opinions expressed in the post are for general informational purposes only and are not intended to provide specific advice or recommendations for any individual or on any specific security or investment product.

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