Chainlink Unlocks €2T Market Data Onchain With SIX Deal

Traditional markets are flooding the crypto space with blockchain technology, enabling this move. Wall Street explored this phenomenon, and now Europe is gradually opening its gates toward this 24/7 trading. Banks and other major institutions have tokenized most of US equities.

On that note, Chainlink is leading the integration of traditional finance (TradFi) with blockchain. Their recent collaboration with the SIX exchange, which complies with European Union regulations, indicates tokenization of EU equities.

Such a move is set to affect not only Chainlink’s blockchain activity but also the price action of its native token, LINK. With that in mind, what are the details of this partnership, and how does price action sit in correspondence to the development?

Chainlink Partners with SIX Exchange to Unlock €2T Market Data On-chain

Chainlink (LINK) announced a partnership with the SIX exchange to bring more than €2 trillion in European equities on-chain. The exchange includes Swiss and Spanish markets, which will be available via DataLink, setting a record for the largest equities ever tokenized on the blockchain.

The Head Market Data at SIX, Matthew Nurse, and the President of Capital Markets at Chainlink Labs, Fernando Vázquez, echoed this partnership during the launch.

SIX, operating in over 50 countries worldwide and reporting operating income of $1.82 billion, is the third-largest exchange in Europe. On the other hand, Chainlink has enabled more than $29 trillion in transaction volume and over 2,600 projects running on the chain. This data indicates increased volume on the chain.

Due to Chainlink’s interoperability, tokenization extends across more than 75 public and private blockchains. They include Ethereum, Solana, Base Chain, BNB Chain, Avalanche, Polygon, and Hyperliquid, among others.

Chainlink Price Prediction: Can LINK Price Bounce From The Support?

Volume drives asset prices, and yes, this partnership is set to benefit Chainlink on this front. Enabling the trading of over €2 trillion in equities led to a spike in volume, which could fuel LINK’s price. But how does it sit at the moment?

On the 2-week price chart, the altcoin is sitting above a long-term support level. The last six weeks have been a consolidation around the $9 zone, which could be bullish if LINK price breaks and stays above $10.

However, breaking below the support around $9 would delay the anticipated uptrend, as tokenization of TradFi is anticipated. In case of a bullish breakout, the target was around $26, but if broken above, LINK’s price could go as high as $55.

Conversely, losing support would make the $5.30 level a possibility. Chainlink last dropped to such levels in mid-2023, but followed with a rally back to the top of the symmetrical triangle pattern. But from a technical perspective, such a scenario does not look feasible, as the $9-$10 level could be a higher low. However, price could obliterate that prediction, but it adds weight to the idea that this area could be a bounce-off zone.

LINK Accumulation Phase in Progress: Details

Meanwhile, on-chain activity is also heating up for Chainlink. Seven large investors are back to accumulating LINK tokens, withdrawing over 421K LINK worth $3.75 million from centralized exchanges (CEXs) in the past 24 hours.

Binance accounted for the largest share, with 331K LINK tokens, followed by Coinbase and Uphold with 62K and 28K, respectively. The biggest buyer among these investors bought 132K LINK, worth $1.2 million. This indicated a strong accumulation phase was in progress.

Altogether, the signals were pointing north. However, for such moves to occur, the broader crypto market needs to be in sync. Also, disruptions, such as geopolitical wars, can hinder value appreciation across most asset classes.