Chainlink struggles: Buybacks stop the decline – but for how long?

Chainlink struggles: Buybacks stop the decline – but for how long?

On October 24, 2025, Chainlink (LINK) is showing stable price consistency above the $17 mark after a 2% recovery the previous day. This recovery was supported by the repurchase of 63,481 LINK tokens, marking the second largest inflow on record for Chainlink Reserve. In total, the Chainlink Reserve now holds 586,641 LINK tokens, worth approximately $10.2 million.

Despite this positive development, Chainlink is at a technical crossroads. Retail interest is weak, favoring a bearish trend. The current market situation shows that retail demand for Chainlink is stagnant, with open interest at $654.04 million, according to data from CoinGlass. This is significant because the sideways trend observed in LINK OI since the Oct. 10 crash indicates continued risk aversion.

Market analysis and technical indicators

On Friday, Chainlink recorded a slight decline of 0.50% after the previous rally. The challenge for the LINK token in particular is to cross the crucial pivot point at $17.72. If the difficulties persist, there could be a risk of a decline to the S1 pivot point at $15.26.

The momentum indicators on the daily chart are sending mixed signals. The MACD is approaching the signal line, indicating a possible bullish crossover. At the same time, the Relative Strength Index (RSI) shows a value of 45, which indicates a sideways trend below the midpoint and could strengthen a bearish trend. To support an uptrend, it would be crucial to overcome the short-term resistance trendline near $18.00, with a potential target of $19.76, the R1 pivot point.

Future prospects for Chainlink

The development of the Chainlink Reserve – funded by revenue from off-chain and on-chain services – helps reduce the supply of LINK in the market while increasing demand. At a time when retail interest is waning, this strategy is crucial to Chainlink's long-term stability. The coming days will show whether Chainlink is able to break through the resistance and create a positive trend reversal.

The current market situation shows that Chainlink is operating in both a stable and challenging situation, which could shape the positioning strategy of many investors. Observations in the market indicate that interest in the LINK token depends heavily on the possibility of surpassing key levels and regaining investor confidence.

For more information about Chainlink and current market developments, please visit fxstreet.com.