Chainlink (LINK) Dips Despite SBI Group Partnership News
Despite a major partnership announcement, Chainlink's native token, LINK, experienced a price decline, mirroring broader market trends.
LINK Price Action
LINK dropped to $24.4, a more than 6% decrease over the last 24 hours, according to CoinDesk data. This reverses gains from Friday when it hit a year-to-date high above $27.
CoinDesk Research's technical analysis suggests continued downward pressure with lower peaks in successive trading sessions. The final hour showed stagnation and low volume, indicating possible consolidation.
SBI Group Partnership Details
SBI Group, a major Japanese financial firm, announced a partnership with Chainlink to develop tokenized assets and stablecoin solutions in Japan, with plans to expand into other Asia-Pacific markets.
SBI will utilize Chainlink’s Cross-Chain Interoperability Protocol (CCIP) to facilitate compliant cross-blockchain transactions. The partnership also aims to test tokenized funds by bringing net asset value data on-chain and explore payment-versus-payment settlement for foreign exchange and cross-border transactions. Chainlink’s Proof of Reserve will be deployed to verify stablecoin reserves.
Previously, SBI and Chainlink collaborated on Singapore’s Project Guardian, a Monetary Authority of Singapore (MAS) initiative focusing on blockchain applications in finance.
Technical Analysis Highlights
- Resistance established at $26.61 with a sharp price reversal on high volume.
- Key support identified at $24.37, attracting buying interest.
- Peak volatility saw extraordinary volume of 7,850,571 units, significantly above the 24-hour average of 2,687,393.
- Systematic formation of lower peaks indicates accelerating bearish momentum.