Chainlink (LINK) Price Prediction 2021-2025
Prediction of future prices seems impossible but if we use a mixture of historical data and predictions about the future of the economy, in general, we can do approximations about the distant future values of some notable digital assets.
Of course, we cannot predict force majeure circumstances. For example, the COVID-19 pandemic and the following financial crisis will probably change the way experts see the future of some of the cryptocurrencies. It was said many times that the global financial crisis can be the time when masses of people will start to perceive cryptocurrencies as a safe haven and alternative to a weak traditional monetary system. Modern days are the test for this theory.
The crisis was predicted a long time ago. People who were paying attention to the economic news were aware that a new financial crisis is "scheduled" by experts for the early 20s. So far cryptocurrencies are showing a strong performance compared to the national currencies and stock markets. Chainlink Coin is one of the currencies that feels OK among these strange days. Let's calculate the probable future prices of this coin but first, we will remind our readers what this currency is and analyze how it was moving in the charts in the past.
What Is Chainlink Coin?
Before we start the review of the Chainlink Coin we should tell you about the Chainlink platform. Chainlink is a platform providing the connectivity between smart contracts and Oracles. The company is aimed at transferring real-life data to the blockchain. It can be made for many purposes: archiving, protecting, sharing information, etc. The company was founded in 2014. By some accounts, Chainlink is based in San-Francisco although the website refers to a Cayman Islands address as the mailing address.
Chainlink provides the opportunity to use certain data for participants of the smart contracts. Smart contracts don't have connectivity with external data sources due to their consensus algorithms. That's why there is a need for such a platform as Chainlink. The company guarantees that the data is protected and stored (and used) on a tamper-proof basis. In contrast to centralized oracles, Chainlink uses several nodes so the connection can be preserved even in a situation when one of the nodes fails.
The platform is architected to be able to connect to any API and payment system so the customers are able to choose from the most comfortable options. Additionally, it's worth mentioning that the platform supports the use of multiple inputs and outputs.
We're thrilled to share that Google is one of the great companies integrating #Chainlink into their approach to smart contract adoption. Here's how @GCPcloud users can use Chainlink to connect to BigQuery, one of Google's most popular cloud services. https://t.co/TfaGPP5TlS— Chainlink - Official Channel (@chainlink) June 13, 2019
Users in need to make a connection between a piece of data and smart contracts send a request smart contract to Chainlink. The contract includes a service level agreement reflecting on the desired Oracle reputation, the number of Oracles, and further details and conditions. The final batch of data gathered and processed by Chainlink from all Oracles is sent back to the contract.
LINK is a currency of the Chainlink platform. LINK is an ERC20 token. It can be used to pay rewards for the network users who provide some real-world data to the smart contracts. Such stimulation leads to a faster transfer of the off-chain data to the blockchain.
ICO was held in September 2017. The tokens were sold for $0.11 each. The total supply is set to 1,000,000,000 LINK. The overall journey of this coin was quite successful. It had quite powerful ups and downs but in general, the coin continies to gain value. A good sign is that the all-time-high of this token was updated twice during the crypto winter. At the time of writing this article (April, 2021) the latest peak price was registered on April 16, 2021, when it surpassed the $42 mark. Moreover, LINK is featured on numerous exchanges. Such giants as Binance, Kraken, HitBTC, and Coinbase Pro are among them. Other notable exchanges are LATOKEN, Bibox, Bilaxy, Huobi Global, and so on. Let's have a closer look at the charts.
Soon after joining the cryptocurrency market, the price of LINK began to grow. During ICO it was only $0.11 per 1 LINK. In early November 2017, the price already reached a $0.17 mark. The price was very unstable so it fluctuated in the wide range between $0.15 and $0.43 until late December when it has grown significantly. In early January of 2018, the price surpassed the $1 level.
Shortly after the ban of cryptocurrencies in China, the overall international cryptocurrency fever began to fade away. Almost the entire cryptocurrency market started to decline from its historical peak. Gradually LINK has followed this wide trend. On January 23 its price decreased below the $1 mark and continued to decline. In February the price was quite volatile shimmering between $0.2 and $0.6. March of 2018 was harsher towards the LINK price. It mostly struggled to climb to a $0.3 mark but mostly kept below this level. April was the time of a partial recovery. The price of 1 LINK became close to half of a US dollar. But the summer was the time of the next downfall. The price was keeping around $0.3 most of the time reaching $0.4 again only in October 2018 when the token was added to BKEX — one of the most important exchanges for Chainlink Coin trading even today.
One month later the price has dropped again returning to the value it had in March. The 2018-2019 winter was quite a stagnant period for LINK with its price traveling from below $0.3 to slightly above $0.4 most of the time. Let us remind you that despite this series of falls and short resurgences it's safe to say that on a bigger scale LINK was performing much better than many other cryptocurrencies at the time. Its price was still significantly higher than the price it had during ICO and it has never reached this value again as its price always was higher. Not many projects could boast the same achievement. In April the price was on the rise again reaching a value close to $0.5 and continued its growth. In May and June LINK was trading at the price above $1 again. In July the token was listed on Bibox and Coinbase Pro and the price has doubled quickly. Until late August 2019 LINK was trading at roughly $2.5 but then the price started to decline again.
Until October the price was below $0.2 but the consequent series of listings on LATOKEN, Kraken, and then finally on Binance has helped LINK price to go up again. In the second half of November, the price even kept a value of $3 for three days. December wasn't so brilliant. The price was below $3 and by the end of the month, it dropped below $2. Nevertheless, since the beginning of 2020, the price started to rise steadily. In early March it peaked at $4.9. Then the overall cryptocurrency market experienced the strongest downfall in its history. Shortly after, the LINK price bounced to $1.8 and then quickly began to rise again.
In August 2020 the price has crossed the $10 mark and dropped below only in September. Beginning with October, Chainlink's price has never been below $10. In January of 2021, the price has reached a $20 level for the first time. In April it peaked at $42.75. As of April 22, 2021, the LINK price is $35.84. The coin ranks 12th by market cap. Cainlink's market cap is $14,989,691,708. It means that Chainlink Coin is one of the most successful cryptocurrencies today. Throughout the time it was growing gradually, always keeping its price above the level it had in the days of ICO. Such a steady development is quite rare for the industry and there are no reasons to be pessimistic about LINK's future price. Let's make a forecast.
An Important Update, April 2021
Everyone in 2020 was hoping for a crypto rally to start but when it finally happened in 2021, it appeared that many of us weren't prepared well for its power. Therefore prices we were predicting in 2020 turned out to be too conservative. Even though we are very bullish about Chainlink we had to reconsider this forecast article. Below you can see the updated forecast made from the perspective of the ongoing crypto rally of 2021.
Chainlink Coin is a special cryptocurrency because it doesn't depend on the Bitcoin price that much and doesn't follow its trends in some cases. While the Bitcoin price was going back and forth in 2018 - 2020, Chainlink was rather in an ascending trend. A sudden crash of the entire world economy (in March) was the only factor that was strong enough to interrupt this steady growth and move the LINK's price down for a while. After a while Chainlink price began to grow again not showing a strong connection to the BTC price.
Taking into consideration a firm upward trend, the popularity of the coin, its accessibility on numerous markets, and the probable positive sentiment of the general public to cryptocurrencies in the days of a crypto market rally, we believe that by the end of 2021 LINK is going to be bigger than now. Moreover, lately, Chainlink got many notable partnerships. It makes us think that LINK will not only grow bigger but raise its lower support level, as well. There already were the cases when LINK used to double its price in a course of 24 hours although it always was a short term effect the price kept on rising anyway. Doubling the price today can mean reaching the price over $70. But it's early to estimate for how long the crypto rally will continue. So there will be a series of corrections and new boosts. Our prediction is that by the end of 2021 the LINK price won't be lower than $50. It might reach new heights in 2021 ($70 or even $88) but only for short periods of time. With the low probability of around 6% we allow that price to lose its momentum and reach only around $40.
Coronacrisis has shown that cryptocurrencies are seen as a safe haven by many people. It is a historical precedent that gave investors a lesson — cryptocurrencies and DLT technologies cannot be ignored when making future plans. It means that not only cryptocurrencies will be used in the following years (both as a payment means and for storage of value) but smart contracts will have bigger use than today, too. That's when Chainlink can become a really important platform for many investors. To date, there are no foreseeable events that could seriously harm the ascension of the LINK price (however it doesn't mean that these events won't appear). Considering the fact that the crypto market will benefit from the lack of trust in the fiat money and all the pros of the Chainlink platform itself, we presume that by the end of 2023 the price will reach $120 at worst. If all the positive factors play out well for Chainlink, it might skyrocket to around $300.
It is much harder to picture the future of the coin 4 years from now. Judging from today's perspective we might say that the following years will be good for LINK in terms of new partners, use cases, and the circumstances (when more people will take cryptocurrencies more seriously and will start actually using them instead of using fiat currencies). As we have said above Chainlink Coin's price at times tends to move independently from the overall cryptocurrency market trends. It may save the coin from cataclysms in the industry or oppositely make it slower than the rivals. Moreover, in the following years, Chainlink can become a role model for other companies. It may lead to the appearance of strong rivals in the field. They can offer similar functionality with extra benefits and harm the LINK's popularity or at least its price. 4 years is more than enough for the appearance of such a company on the market. We don't know if this company or other circumstances that can harm LINK's market performance will take place. So the forecast varies from pessimistic $400 to a maximum of $2,200 (although at some points the price can reach up to $2,990 and drop again).