Chainlink (LINK), a major player in the blockchain data space, is currently navigating a turbulent market phase. After a steady decline since late May, LINK is now hovering near a crucial support level that could determine its short-term direction.
What’s Happening with Chainlink?
Chainlink’s price has slipped below its 50-day moving average, recently touching lows around $13.40—a level not seen since early May. The broader crypto market has also been under pressure, with nearly $700 million in liquidations across major assets, and LINK has not been immune to this trend. At the time of writing, LINK is trading at approximately $13.77, down over 5% in the last 24 hours and more than 13% for the week .
Why Is $12.30 So Important?
According to crypto analyst Ali, the $12.30 mark is a critical support level for LINK. If the price fails to hold above this threshold, there’s a risk of a further drop toward $8—a potential 41% decline from current levels. This scenario would represent a significant setback for the token, especially after recent attempts to rebound were met with resistance near $16.19.
“LINK could find support at the lower boundary of this channel around $12.30. A break below this level, however, could open the door for a drop to $8,” notes Ali.
Recent Developments and Ecosystem Growth
Despite the price volatility, Chainlink continues to expand its ecosystem. The network recently celebrated its sixth anniversary and rolled out the CCIP v1.6 upgrade, which now supports non-EVM blockchains like Solana. This upgrade enables Chainlink’s cross-chain protocol to connect with over 57 blockchains, with 26 new integrations added this year.
In addition, Coinbase has started using Chainlink’s proof of reserve technology to enhance transparency for $4.6 billion in cbBTC reserves. Major institutions are also exploring Chainlink’s capabilities, as seen with JP Morgan’s recent transaction involving tokenized U.S. Treasuries on Ondo Finance, where Chainlink facilitated connectivity between private and public blockchains.
What’s Next for LINK?
Market analysts remain cautious. While some forecasts suggest LINK could average around $14.47 in May and potentially rise to $15.32 by August 2025 , the immediate focus is on whether the $12.30 support will hold. A break below this level could trigger a sharper decline, making the coming days crucial for LINK holders.
Stay updated on Chainlink’s price, recent upgrades, and market trends as the situation develops.
