Chainlink (LINK) has made a remarkable 20% recovery from the market crash over the past day, buoyed by a significant increase in address activity on its network. Starting the week on a sharp downturn, Chainlink’s price, which had fallen to around $8 from its previous level above $11 over the weekend, has now bounced back above $9.8.
This resurgence stands out in the cryptocurrency market, where only a few other top-20 assets, including Solana (SOL) and Shiba Inu (INU), have posted similar gains in the last 24 hours. Although Chainlink’s price is still far from reclaiming its prior highs, this notable recovery brings a glimmer of hope to investors.
One potential catalyst for this rebound is a spike in Daily Active Addresses on the Chainlink network. This metric, which measures the number of unique addresses engaging in transaction activities each day, has surged recently according to data from the market intelligence platform IntoTheBlock. Daily Active Addresses can be seen as a proxy for user engagement and network traffic, with higher values indicating increased interest and activity from investors.
The recent rise in Daily Active Addresses aligns with the market crash, suggesting a wave of users became active to execute transactions. While it’s common to see heightened activity during volatile periods—often driven by panic—this time, there might be a different narrative at play. IntoTheBlock notes that the surge in activity coincided with a general trend of outflows from exchanges, hinting at possible accumulation by investors during the market turmoil.
With Daily Active Addresses reaching their highest level since May, this network activity provides an intriguing backdrop to Chainlink’s price recovery. The increased engagement suggests a renewed investor interest, offering a sense of optimism amid an otherwise turbulent market.