Chainlink rallies to fresh highs of $16, but data reveals mounting selling pressure

Chainlink's price has flashed signs of intense strength in recent weeks, with each pullback being aggressively bought by bulls.

This pattern has allowed it to rally up to fresh all-time highs that were set early today, with the cryptocurrency now finding some stability as its price hovers just below these newly formed highs of $16.00.

Multiple on-chain indicators are now revealing that selling pressure for the bullish crypto is mounting, with well over $100 million worth of LINK being moved to exchanges over the past few days.

Earlier today, Chainlink's price witnessed a massive influx of buying pressure that sent it surging to highs of $16.00.

Despite being overtly bullish, the cryptocurrency's MVRV indicator - which calculates the average profit or loss of certain holder groups - is showing signs that Chainlink is overvalued presently.

LINK exchange deposits spell trouble for its short-term outlook.

This movement has also come about as exchange wallets see massive inflows of Chainlink - which is a historically bearish sign that suggests a pullback is brewing.

Data from Santiment also reveals this trend, showing that deposit transaction into exchange wallets have been spiking in recent weeks.

The analytics platform spoke about this in a recent blog post, noting that over $100 million worth of tokens were deposited into exchanges earlier this week - suggesting a massive influx of selling pressure could be imminent.

"Chainlink's exchange metrics all seem to indicate mounting sell pressure over the past 48 hours, with over 100 million dollars worth of LINK moving to exchanges in a move oddly reminiscent of its previous price tops - both the one in 2019 and the one from a month ago."