Chainlink price hits 3-year high as open interest spikes to all-time high

Chainlink was among the biggest gainers on December 12 as its price hit a nearly three-year high, and this came as open interest in futures rose to an all-time high.

Data from on-chain and financial metrics provider Glassnode revealed that open interest in Chainlink (LINK) futures reached $770.27 million as LINK reached its highest levels in almost two years. OI, a measure of market activity, provides insight into investor sentiment, which in this case is bullish.

Glassnode’s data on December 11 highlighted that Chainlink’s OI is almost three times that of Toncoin (TON) and twice that of TRON (TRX). Specifically, open interest in TON and TRX futures stood at $259 million and $356 million, respectively.

On December 12, LINK’s price rose to $29.45 and continued its upward momentum after reaching levels last seen in January 2022.

Glassnode suggests that the bulls maintain the upper hand due to the improvement in fundamentals.

This was despite recent profit taking in the spot market. Analysts say the selling is coming largely from speculative traders. While speculators took profit taking to the highest level since February, “longer-term investors remained mostly silent.”

“Although LINK’s price increase is clearly driven by speculative and short-term market activity, its fundamentals are also improving. The momentum of active addresses is trending upward, with the short-term SMA of 6,682 still above the long-term SMA of 5,878. However, active addresses remain well below the 2021 peak of 23,416,” Glassnode shared on X.

As of the moment this article was written, Chainlink increased by 13% during the day and 97% in the past week and 30 days, respectively.

The increase comes amid major ecosystem partnerships for the Oracle network, including World Liberty Financial. The Trump-inspired crypto project announced in November that it would adopt Chainlink’s technology to mass adopt decentralized finance.

Additionally, Chainlink Labs has partnered with Emirates NBD Digital Asset Lab to facilitate asset tokenization and digital asset management. Other notable integrations and collaborations include leading institutions such as Swift, SBI and UBS.