Chainlink (LINK) has witnessed a surge in accumulation in the past 12 hours, as evidenced by its rising momentum indicators.
This has prompted profit-taking activity among some daily traders who have since recorded profits on their transactions.
An assessment of LINK’s daily transaction volume in profit to loss reveals that the ratio currently sits at its highest since July 14, reaching 5.98 on Tuesday.
This means that for every LINK transaction that has ended in a loss today, 5.98 transactions have returned a profit. This indicates that LINK traders have recorded more profits than they have seen losses.
Despite more frequent profits, a look at LINK’s financial statistics reveals that many of its holders are “out of the money.” This means the current market price of LINK is lower than the average purchase cost for many investors.
According to IntoTheBlock, 441,000 addresses, or 63.06% of all LINK holders, are currently at a loss. Conversely, 238,000 addresses, representing 34% of all holders, hold their tokens at a profit.
LINK’s rising momentum indicator reflects increased accumulation over the past 12 hours. The altcoin’s Chaikin Money Flow (CMF) is in an uptrend, indicating a liquidity inflow, often a precursor to price growth.
Additionally, LINK’s Moving Average Convergence/Divergence (MACD) setup indicates that buying pressure exceeds selling activity, signaling bullish momentum. If LINK accumulation persists, its price could climb to $11.57, though increased selling pressure could reverse this trend, dropping the price to $8.08.
