54.47M LINK Build-Up Around $16 Key Support Zone, Says Analyst

Chainlink sees major accumulation at $16 with over 54.47M LINK bought, signaling a strong support zone after October’s sharp drop.

Funding rates turned sharply negative on October 9 as LINK plunged, indicating strong short pressure before a mild recovery to $18.

Between July and September, LINK saw strong buying between $20–$25 before correction phases reactivated older support levels.

Chainlink (LINK) is now standing at a pivotal support level near $16, triggering attention across the crypto market. Over 54.47 million LINK tokens were reportedly accumulated at this zone, according to analyst Ali on X

The price drop to the $16.10–$16.19 range on October 19, 2025, marked a significant turning point. This drop followed a sharp correction phase that started in mid-September. Heatmap data revealed by Ali shows heavy supply concentration around this level, signaling strong holder activity and a critical defense zone.

The price plunge in October also matched a sharp dip in futures funding rates, as confirmed by Conglass data. On October 9, funding rates turned negative, highlighting a surge in short positions. This directly aligned with LINK’s rapid decline to the $16 range. However, after October 12, LINK began recovering toward $18 as funding rates stabilized, suggesting a cooling-off in aggressive bearish sentiment.

Source: Coinglass

Accumulation Zones Reflect Market Shifts

Between late July and early September, LINK showed strong accumulation between $20 and $25. During this time, the heatmap indicated higher color density, signaling a wide investor cost basis in that range. Moreover, the price remained stable around $24–$26 with neutral funding rates, confirming balanced sentiment between longs and shorts.

By mid-September, LINK began sliding downward, and older cost zones between $18–$20 reactivated. This shift reflected profit-taking and distribution phases. Notably, accumulation cooled sharply in early October, with sparse heatmap activity confirming reduced buying. Consequently, the market entered a consolidation zone at $16.

LINK Attempts to Stabilize Post Correction

Despite the October decline, LINK showed early signs of recovery heading into mid-October. The price rebounded slightly to around $18, with the market showing reduced volatility by October 20. This mild recovery followed significant profit-taking and a return to key cost levels that had supported prior moves.

Still, the strong support at $16 remains the level to watch. “54.47 million Chainlink $LINK accumulated at $16. Strong support zone!” analyst Ali emphasized.

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