Chainlink (LINK) Supply Shrinks as 15 Million Tokens Exit Exchanges - Signs of Accumulation Emerging

Chainlink’s native token, LINK, has faced a sharp downturn in recent weeks, losing nearly 30% over the past month and another 8% in the last 24 hours. Despite the price drop, blockchain data suggests that the token may be entering a significant accumulation phase that could set the stage for a potential recovery.

Exchange Balances Drop, Selling Pressure Eases

Over the past month, approximately 15 million LINK have been withdrawn from centralized exchanges, according to recent data. This continues a broader trend that began earlier in the year, with total exchange reserves falling from about 180 million LINK to just 146 million. In other words, around 34 million tokens have moved into private wallets, staking contracts, or other off-exchange holdings.

This shift has reduced the portion of LINK supply held on exchanges from roughly 18% to 15% in under a year. Such a decline typically points to lower selling pressure, as tokens stored off exchanges are less likely to be traded in the short term. Historically, heavy exchange outflows have preceded periods of upward momentum as supply tightens and demand begins to outweigh available liquidity.

Market Outlook and Accumulation Zones

Currently trading near $16, LINK’s price action remains volatile but constructive from a mid-term perspective. Market observers suggest that any short-term pullback toward the $15 level could present an attractive accumulation opportunity, as this zone has previously acted as strong support for long-term holders.

Despite the recent correction, on-chain data and investor behavior indicate that strong hands are absorbing supply rather than exiting. The combination of reduced exchange liquidity, growing network adoption in cross-chain data services, and ongoing staking activity all point toward a potential setup for a rebound as market sentiment stabilizes into year-end.