Tag: Positive

Chainlink (LINK) has largely stagnated over the past year, remaining around the 18th-largest cryptocurrency by market capitalization and experiencing a year-to-date decline of approximately 43%. However, looking at the longer-term performance of LINK, the oracle network’s native token remains significantly below its peak. Trading at roughly $9.509 at the time of writing, LINK is approximately 82% below its all-time high of $52. Despite the weak price action, Leo Sun of The Motley Fool has published a report suggesting that LINK could see substantial gains over the next five years.

How LINK’s Circulation Could Drive Big Gains

Sun’s outlook centers on the potential for the token’s trajectory to benefit from changes in supply dynamics and real-world adoption, particularly as the Chainlink ecosystem continues to expand. He highlights token circulation as a key factor in the long-term picture. When LINK reached its record high in 2021, its circulating supply was about 410 million tokens. Since then, the circulating supply has increased to approximately 727 million, as of the report’s publication.

Sun argues that this growth in circulation could bring LINK closer to its supply limit within the next five years. If demand continues to rise while the supply of newly available tokens tightens, the token price could experience significant upward movement, especially if new demand outpaces supply expansion.

Another major element of Sun’s thesis is Chainlink’s growing role in regulated finance and payments infrastructure. Over the past year, Chainlink has partnered with approximately two dozen major financial institutions, including organizations such as UBS, Euroclear, and the SWIFT network. According to Sun, these partnerships aim to accelerate money transfers, automate transaction workflows, and support the tokenization of real-world assets. The report suggests that if Chainlink becomes a core infrastructure component for tokenized finance, LINK’s value could rise further as the ecosystem’s usage expands.

What Needs To Change For Chainlink?

At the core of the argument is how LINK is positioned within the crypto market. Sun notes that LINK cannot be valued using a “scarcity model” in the same way Bitcoin (BTC) is often approached, due to differing token distribution and market structure mechanics. Instead, Chainlink is described more as a developer-driven asset, similar to how investors view Ethereum (ETH) rather than a pure scarcity narrative.

In this framework, LINK’s long-term prospects depend less on fixed scarcity alone and more on continued relevance to developers, integration into real financial systems, and the degree to which market interest returns.

Finally, the report connects the potential for a $20 billion market cap to broader macro conditions. If the overall cryptocurrency market improves over the next five years, as Sun suggests could happen when the macro environment becomes more favorable, Chainlink’s market cap could increase significantly.

FET has been trading sideways above $0.20 for several weeks, awaiting a catalyst to drive a decisive price movement. While the price has been holding steady, it has not advanced. An analysis by CryptoOnchain, tracking Binance-specific flow metrics, has identified a structural development in the exchange data that recontextualizes the current consolidation phase.

Binance Exchange Activity

Over the past week, metrics governing FET’s exchange activity on Binance have contracted significantly. The number of inflow addresses has plummeted by 92%, indicating a near-disappearance of wallets sending FET to Binance compared to the previous period. Total exchange inflows dropped by 71% during the same timeframe. This combined effect pushed Binance’s netflow down by 557%, resulting in deeply negative exchange flows.

These figures describe a specific structural condition. The simultaneous collapse in both the volume of FET arriving on Binance and the number of participants depositing is unambiguous, representing what CryptoOnchain identifies as an inflow drought. Fewer market participants are moving assets to the exchange, and those still active are moving considerably less than before. In exchange flow analysis, this combination implies a direct supply implication, which changes how FET’s current consolidation above $0.20 should be interpreted.

Reserve Depletion

The CryptoOnchain analysis extends the timeframe to reveal the pattern that gives the current inflow drought its full structural weight. The recent collapse in Binance deposits is not an isolated event. It is the latest development in a 90-day trend that has already depleted FET’s Binance reserve by 20%, a sustained reduction in exchange supply that has been building throughout the consolidation period.

The combination of these dynamics creates a more significant supply imbalance than either would produce independently. Declining exchange reserves over 90 days indicate a market where more FET is leaving Binance than arriving on a sustained basis. The sudden halt in inflow deposits means the mechanism that would normally replenish that declining supply has effectively stopped functioning. Historically, the transition from stable exchange reserves to an inflow drought has created conditions that preceded structural supply-side tightness, where the available FET for immediate sale on the exchange continues declining without fresh deposits to restore sell-side inventory.

This tightness does not immediately trigger price movements. However, it creates an environment where demand, when it arrives, encounters a thinner order book, amplifying the price response to any emerging buying pressure.

Technical Analysis

FET continues to consolidate near the $0.20 region after months of sustained downward pressure that erased most of the gains from its 2024 rally. The weekly chart shows the asset attempting to stabilize following an extended decline that accelerated after losing the key $0.55–$0.60 support zone earlier this year. Since then, price action has compressed into a relatively tight range between roughly $0.15 and $0.25, reflecting a market that remains cautious but less aggressive on the sell side.

Technically, FET is still trading below the 50-week, 100-week, and 200-week moving averages, confirming the broader macro structure remains bearish despite the recent rebound attempt. However, the intensity of the decline has clearly slowed. Recent candles show reduced volatility and lower selling momentum compared to the distribution phases seen throughout late 2025.

The most important feature on the chart is the developing base structure around current levels. Buyers have repeatedly defended the $0.15–$0.18 region, while volume spikes during downside moves suggest periods of absorption rather than panic liquidation. This aligns with the Binance flow data showing severe inflow contraction and persistent reserve depletion. For bulls, reclaiming the 50-week moving average near the $0.35 region would be the first major structural signal that accumulation is transitioning into trend recovery. Until then, FET remains in a prolonged rebuilding phase.

XRP Navigates Critical Technical Zone, Analyst Says Bullish Structure Intact

XRP is currently trading within a crucial technical zone, according to a new two-week chart analysis, which suggests that the broader Elliott Wave structure remains unbroken. The analysis, shared by crypto analyst Dark Defender, indicates that XRP is nearing the apex of a narrowing resistance and support pattern. The next significant price movement will determine whether the cryptocurrency remains constrained by short-term resistance or initiates a more substantial upward rally towards defined resistance levels.

Elliott Wave Count Still Bullish

Dark Defender’s analysis is based on the premise that XRP’s primary Elliott Wave structure is still valid on the two-week candlestick timeframe. The chart illustrates XRP progressing through a larger five-wave sequence, with current price action occurring near the conclusion of Wave 4.

According to Elliott Wave theory, Wave 4 is the second corrective phase within a five-wave impulse, preceding the final Wave 5 expansion, provided the entire impulse structure is not invalidated by a breakdown. As depicted in the chart, XRP is being squeezed between a descending orange resistance line and a rising blue support line. The XRP price touched the blue support line in March and has since generated several bullish two-week candlesticks. The current candlestick has again touched the descending orange resistance line, indicating that XRP’s consolidation phase is nearing its end.

The analyst highlighted support between $1.36 and $1.31. This range is significant because XRP is currently trading around $1.36, meaning the price action is testing the lower boundary of the setup in real-time. A sustained hold above this zone would preserve the bullish wave count, while a breach of this area would invalidate the possibility that the current structure is still preparing for a Wave 5 move.

Fibonacci Price Levels and $8 Target

The most critical short-term battle is around the orange resistance line. Dark Defender anticipates XRP breaking this resistance and experiencing a strong rally through the end of May. Since the rejection at $3.65 in July 2025, XRP has formed lower highs under that descending trendline, which is now around $1.47.

The projected path on the chart shows XRP breaking above $1.47 and then extending into the higher Fibonacci extensions. The first notable extension is the 161.80% extension at $1.8818. The 361.80% extension, a Fibonacci level associated with extended Wave 3 and Wave 5 completions in strong impulsive structures, maps to $3.5632. However, it is the 644.40% extension that anchors the full bullish prediction of $8.7822, which is labeled as the Wave 5 target.

Goldman Sachs has eliminated its exposure to XRP exchange-traded funds (ETFs), reducing its holdings from approximately $154 million to zero during the first quarter of 2026. The move has drawn attention within the XRP community, as Goldman Sachs was previously one of the largest disclosed institutional holders of XRP-linked ETF products. However, the market’s reaction to the exit may be more significant than the liquidation itself.

Goldman Sachs Cuts XRP ETF Exposure

Goldman Sachs entered the XRP ETF market in late 2025 with a significant position. By the end of the fourth quarter of 2025, the bank had accumulated roughly $154 million in XRP ETF exposure, spread across products from Bitwise, Grayscale, Franklin Templeton, and 21Shares. This made Goldman Sachs the holder of nearly 73% of all known institutional XRP ETF investments at the time.

However, Goldman Sachs’ recent Form 13F filing, submitted to the SEC in mid-May, revealed no XRP-linked ETF holdings at the end of the first quarter of 2026. The filing indicates that the XRP liquidation was part of a broader portfolio adjustment. Goldman also closed out its Solana ETF exposure, reduced its Ethereum ETF holdings by about 70%, and trimmed its Bitcoin ETF exposure, although it maintained a substantial Bitcoin ETF position of nearly $700 million.

Market Absorbs the Sale

An XRP commentator known as X Finance Bull on the social media platform X noted that the market’s response to Goldman’s exit was noteworthy. The commentator pointed out that despite Goldman Sachs selling its entire $154 million XRP ETF position, XRP ETFs still recorded $60.5 million in weekly net inflows during the week the news was released. This suggests that demand from other buyers was robust enough to absorb the sale and maintain positive market activity.

Spot XRP ETFs recorded their strongest weekly inflow since January, with cumulative inflows reaching approximately $1.39 billion. Assuming the entire selloff occurred during the same week XRP ETFs posted net inflows, total buying demand would have had to exceed $214 million to offset Goldman’s $154 million exit and still leave the market positive. This suggests that the sale may be more complex than a bearish headline implies. A large exit is only damaging if there is insufficient demand to offset it. In this case, Goldman’s selling pressure was not only absorbed but also surpassed by new buying. This indicates sustained demand for XRP and provides holders with a stronger basis for confidence in their positions, despite Goldman Sachs’ exit.

Canary Capital CEO Steven McClurg forecasts a 30% increase in investor interest in XRP before December, along with a potential doubling of its current price.

The Path to Year-End

McClurg, who heads one of the first firms to file for a spot XRP exchange-traded fund in the U.S., outlined a three-phase market trajectory for the remainder of 2026. He anticipates a challenging near term, with summer expected to exert pressure on both equities and the broader crypto market. The lead-up to midterm elections is also expected to divert attention and capital from markets.

However, McClurg’s outlook becomes more optimistic after the election season. He believes that ETF inflows will likely accelerate post-midterms, driven by the potential passage of the CLARITY Act and increased activity in real-world asset tokenization. He suggests that institutional investors have been awaiting regulatory clarity before committing larger investments.

ETF Inflows Already Building

McClurg’s comments follow a strong week for XRP ETFs. Net inflows reached $60 million last week, the best single-week performance of 2026, bringing the total cumulative figure to $1.39 billion. McClurg anticipates a further 30% growth in this number by year-end.

XRP is currently trading around $1.40. A doubling of its price by December would place the token above $2.80. Regardless of whether the prediction materializes, the inflow data indicates a real and growing institutional interest in XRP exposure through regulated fund products.

A Specific Target With A Specific Timeline

McClurg’s forecast is specific, with a defined timeline. Such precision from a fund executive with a direct stake in the XRP market is likely to attract attention, and his comments are already circulating widely. His broader prediction hinges on regulatory progress, capital rotation following the elections, and continued ETF adoption. For his year-end target to be achieved, all three factors would need to align. The summer period, by his own admission, will serve as a test of this thesis before the second half of the year.

XRP Sees Strongest Network Growth of the Year, According to Santiment

XRP experienced one of its most significant network growth spurts of the year, with analytics firm Santiment reporting the creation of 4,300 new wallets within a 24-hour period. This marks the fourth-largest spike of 2024. Santiment highlighted the importance of this development, stating that “network growth is among the top leading signals to identify reversals,” positioning the wallet surge alongside on-chain metrics that suggest XRP is trading in a lower-risk zone.

Undervalued Setup for XRP

This data point was also discussed by Santiment’s Brian Quinlivan during a recent livestream. The XRP segment stood out due to a combination of new wallet creation, depressed profitability metrics, and relatively subdued crowd sentiment. Quinlivan noted that XRP’s MVRV setup resembled that of Ethereum, but with a more pronounced long-term drawdown among active holders.

According to Santiment data cited during the livestream, XRP’s 365-day MVRV was approximately negative 35.12%, while its 30-day MVRV had fallen back into negative territory at roughly negative 3%.

Quinlivan argued that this combination places XRP in a statistically less overheated position compared to periods when recent and longer-term holders hold substantial unrealized gains. “Again, that golden rule, they’re both below zero, meaning you’d be buying whether you’re doing short or long-term trading at a less risky point than the average moment in XRP’s 11, 12 year history now,” he said.

He further emphasized the significance of the long-term figure, noting that readings below negative 30% often indicate a point where the average active holder has already absorbed significant losses. “Anything below 30, no matter what asset you’re looking at, that’s something that should provide confidence in your investment because you have something that quantifies how much blood in the streets there is,” he stated. “You can buy knowing that your fellow peers that you’re trading against, you’re not on the same team just because they’re investing in the same asset. You’re buying when those fellow peers have already experienced immense losses that you haven’t because you’d be opening a fresh new entry into XRP.”

Sentiment Analysis

Sentiment data further supported this assessment. Quinlivan noted that XRP’s social tone had been “pretty up and down lately,” but was leaning more negative than usual, which Santiment typically views as constructive from a contrarian perspective. The asset was showing about 1.7 bullish comments for every bearish comment, a level that, while seemingly elevated, is below XRP’s typical social baseline, which tends to be closer to a 2-to-1 bullish ratio.

He added that, excluding an outlier around May 14, XRP sentiment had remained below its typical average for approximately the preceding 10 days. This is significant because, according to Santiment’s framework, excessive bullishness often appears near local tops, while apathy or frustration can emerge near more attractive entry points.

The livestream also contextualized XRP within a broader altcoin environment. Quinlivan observed that many assets have faced negative sentiment due to their failure to follow Bitcoin into a more convincing rally. He cited the rapid fading of market attention around specific integrations or partnerships if price doesn’t respond, using the XRP-related hype surrounding a Rakuten partnership approximately a month prior as an example of how narratives can lose traction without market confirmation.

At the time of this report, XRP was trading at $1.36.

XRP Sees Surge in New Wallet Creations, Signaling Potential Market Shift

XRP experienced a significant increase in new wallet creations, with 4,300 wallets added in the past 24 hours, according to data released by Santiment on May 22. This marks the fourth-largest spike in network growth this year.

Market Activity and Derivatives

The surge in wallet creation coincided with XRP trading near $1.37. Simultaneously, derivatives activity on platforms like Binance and CME increased, despite the token’s recent underperformance. This spike in new wallets is noteworthy because network growth often precedes significant price movements, indicating shifts in trader interest.

Santiment highlighted that the recent wave of wallet creations was one of the largest for XRP in 2026, noting that network growth is a strong indicator of potential market reversals. This data also emerged during a period of heightened activity in the token’s derivatives markets. Open interest (OI) for XRP futures on Binance reached $488 million this month, according to Arab Chain.

This OI figure is among the highest since March, following a steady increase throughout May. Analysts often interpret rising OI as a sign of traders adding leveraged positions, although it doesn’t necessarily predict market direction.

Exchange Flows and Price Performance

Additionally, exchange-flow data from analyst Amr Taha revealed that Binance XRP withdrawals accounted for 53% of transaction share, compared to 47% for deposits. The last time withdrawals reached a similar level was April 10, when XRP was trading around $1.34.

A higher withdrawal share can suggest that traders are moving tokens off exchanges, potentially to hold them. However, this activity doesn’t automatically signal an upcoming rally; it could simply indicate reduced selling pressure in the short term.

Despite the increased trading activity, XRP’s price has remained relatively stable. At the time of writing, CoinGecko data showed the asset down 0.3% in the past 24 hours, trading between $1.35 and $1.38. The token is also down 8% over the past week and nearly 5% for the month. Year-to-date losses exceed 43%, leaving the Ripple token more than 62% below its July 2025 all-time high of $3.65.

Institutional Engagement

Institutional engagement remains strong. As previously reported by CryptoPotato, CME’s XRP futures products processed approximately $63 billion in notional trading volume during their first year.

CME launched the contracts in May 2025, offering standard and micro-sized futures tied to the XRP-Dollar Reference Rate. Since then, traders have exchanged roughly 1.32 million contracts, equivalent to 28.6 billion XRP.