The altcoin rally in the crypto market isn’t only attracting investment into the new and old coins. While several traders were surprised that Litecoin gained 42% within sixty days, LINK also followed suit.
A 60-Day Peak
It surged to an 8-week peak price today, and its holders also became greater in number. An IntoTheBlock data indicate that almost 160,000 wallets hold LINK coins for over 12 months. The data monitored these wallets over the past 12 months, even though it measures the total number of wallets with their growth rates. This high number of LINK holders indicates investor confidence in the coin over the long term.
The Rise In Wallet Holders
Investors can predict market sentiments towards some particular digital assets based on the number of long-term holders. The wallets tracked have held the LINK coins for an average of 4 years. The total number of LINK tokens held by these wallets is 692m, and within the past one month, this number increased by 3.5%.
However, the holdings of most of these LINK holders are wallet-held profits. 10% of these holders are breaking even as they are actively trading with their tokens. LINK gained 6.5% in the last 24 hours and currently trades at $37.65.
Chainlink Co-Founder Predicts Entrance Of Institutional Investors To Defi
Most altcoins are experiencing astronomical growth recently, thanks mainly to the rising number of users in the DeFi space. Hence, one of the Chainlink’s founders, Sergey Nazarov, has forecasted that institutional investors will enter the industry soon if the DeFi sector keeps growing at its current pace.
Nazarov made his opinion known during a brief interview with Anatoly Yakovenko (one of Solana’s founders) at the Solana-organized breakpoint conference in Portugal. Nazarove further stated that institutional investors would enter the DeFi space to avoid losing customers to the competition.
Increased DeFi Adoption
Nazarov further opined that a greater level of on-chain collateral services would soon be launched. Lastly, he believes that the world is yet to comprehend the value and size of the DeFi sector’s impact on the traditional finance sector.
Despite the rising growth of the DeFi sector in recent months, the Chainlink co-founder still believes the broader adoption of this sector will be greater next year. A recent DeFiPulse data revealed that the TVL currently in DeFi is more than $134B. The TVL (often used as an indicator of the inflow into the sector) has grown by $26B.
Nazarov opined that PayPal’s integration of digital asset transactions on its platform played a huge role in the user influx into the DeFi space. You’d recall that PayPal announced that its users in some specific countries could buy and sell selected cryptocurrencies from their PayPal dashboard.
He argued that PayPal’s success with integrating cryptocurrency into its platform is a sign that institutional investment into the DeFi space will positively impact the space. Despite Nazarov’s optimism regarding the DeFi sector, he still believes that regulatory policies will play an essential role in its success or failure.