LINK Eyes $15 Amid Recent Rally as Institutional Appetite for Chainlink Grows and Tokenisation Takes Shape

By Aaron Feuerstein November 09, 2023 In Chainlink
Source: Adobe Stock
  • Chainlink’s LINK experiences a meteoric 93% rally, with a 40% surge in just the last 10 days.
  • LINK continues its exceptional ascent, driven by revived token activity and increased accumulation by large holders.
  • Grayscale’s Chainlink Trust trades at a 200% premium, reflecting robust institutional demand for LINK.
  • Vodafone’s collaboration to integrate IoT and blockchain via Chainlink’s protocol signals a transformative step for global trade, contributing to LINK’s value surge.

Chainlink LINK is on a surge and it does not seem to want to slow down. Despite gaining a massive 93% from the start of its rally in late October, LINK has managed a 40% surge in the past 10 days alone. CoinMarketCap shows that LINK was at US $7.30 (AUD $11.56) on October 20, rose to US $11.66 (AUD $18.12) on November 2, only to plunge back down to US $10.84 (AUD $16.80) a day later. Since then, it commenced the meteoric rise and at the time of writing trades hands for just US $14.73 (AUD $22.96).

Source: TradingView

Santiment reports that the remarkable rise of Chainlink (LINK) shows no signs of abating, as the crypto with the 12th largest market cap outpaces the broader sector. Previously inactive tokens have started moving, and historically, wallets holding between 10,000 and 10 million $LINK have been on an accumulation trend.

Source: Santiment/ X

LINK’s stellar performance comes on the back of interest of institutional players and expectations around tokenisation of real-world assets (RWA).

Meanwhile, X user ChainLinkGod reported that the Grayscale Chainlink Trust that permits U.S. investors to invest in LINK is being traded at twice the actual market price, indicating a high demand from institutional investors.

Since its launch in May 2022, the Chainlink investment product has usually traded above market value, typically over 20%, but has surged to 150% above spot prices on two occasions, with the latest premium reaching an all-time high. The Chainlink Trust currently manages nearly US $4 million (AUD $6.23 million) in LINK and applies an annual fee of 2.50%.

Earlier in October, Vodafone’s Digital Asset Broker (DAB) announced the testing of a new concept with Sumitomo Corporation, Chainlink Labs, and InnoWave to enhance the US $32 trillion (AUD $50 trillion) global trade system by streamlining the exchange of trade documents across different platforms and blockchains.

Utilising Chainlink’s Cross-Chain Interoperability Protocol (CCIP), they aim to improve security and allow for inter-blockchain communication, including the integration of Internet of Things (IoT) devices in trade processes. This collaboration could lead to smarter contracts and autonomous trade device data sharing, potentially reducing cargo delays by efficiently transferring digital bills of lading.

Vodafone DAB’s initiative reflects a broader trend toward tokenised real-world assets and the merging of IoT with blockchain technology, promising new monetisation opportunities and expecting to see 3 billion IoT devices transacting by 2030. 

Aaron Feuerstein

Aaron Feuerstein

Aaron Feuerstein is a freelance writer based in Melbourne. His focus is on decentralised finance and the regulatory space surrounding blockchain. He holds a Master's in Accounting. When he is not studying the latest legal case, he enjoys his time as a modest but eager hobby cook.

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