Chainlink Drops Below $14.50 as Selloff Deepens Despite Reserve Accumulation

Chainlink’s LINK token extended its decline on Thursday, slipping below the key $14.50 support level as sellers outweighed buyers during a high-volume market downturn. The move follows a failed attempt to sustain momentum above $15, resulting in a pronounced breakdown that highlighted growing bearish pressure across the broader crypto market.

LINK retreated from an intraday high near $15.26 and continued sliding to its weakest price point since late October. The token underperformed the broader CoinDesk 5 Index, which also fell but by a comparatively milder 3.7%. Trading activity surged notably, with over 3.32 million tokens exchanged — roughly 118% above its daily average — signaling strong institutional participation during the selloff.

A rapid three-wave liquidation event between 17:05 and 17:41 UTC intensified the decline, with more than 360,000 tokens changing hands in minutes. This sharp spike in volume reinforced the rejection of the $15.00–$15.26 resistance cluster and pushed LINK toward a new support zone around $14.40. Analysts noted that the break of the ascending trendline confirms a short-term bearish reversal and raises caution among traders.

Despite the downward pressure, on-chain data indicates ongoing accumulation by major entities. The Chainlink Reserve added another 74,049 tokens to its holdings on Thursday, bringing its total above 800,000 LINK. However, with an average entry price near $20, the reserve now holds an unrealized loss of about 27%, reflecting the broader market’s failure to maintain bullish traction.

For traders watching the next move, the $14.40–$14.50 area serves as immediate support. A drop below this range could expose the $14.20 level, while a recovery above $15 — and more decisively $15.26 — would be needed to restore short-term upward momentum. As volatility rises and liquidation pressures mount, market participants remain alert for a potential rebound or further downside continuation.