Chainlink's LINK cryptocurrency dropped to its lowest price since early August, erasing previous gains during broader market weakness. The token briefly fell below $20 multiple times, declining 4% in 24 hours and nearly 28% from August peaks.
Notably, significant buying activity occurred despite the price drop. Wealth management firm Caliber purchased $4 million in LINK tokens, bringing total holdings to $10 million. Simultaneously, the Chainlink Reserve acquired 47,903 LINK tokens worth approximately $1 million, totaling over 370,000 tokens purchased since August.
Technical analysis indicates LINK may be breaking its downtrend as buyers defend the $20 support level. Key resistance sits near $20.57, with intermediate resistance at $20.30-$20.35. The token showed substantial intraday volatility, retreating from $21.16 to $19.95 before recovering to $20.26, with firm support established at the psychological $20.00 barrier.
Trading volume exceeded 5 million units during the selloff, suggesting institutional participation, while subsequent recovery indicates strong underlying demand for LINK tokens.