Chainlink Struggles Below $9 Amid Weakened On-Chain Activity

Chainlink's [LINK] recent struggles to break above $9 have raised caution among investors, despite some bullish signals. On-chain activity has weakened considerably, with a 92.6% drop in transaction count and a 63% decline in total user count over the past few weeks, according to Artemis data.

The $8.80 area has proven to be a key resistance zone for LINK bulls, who have been trying to drive token prices past this level since mid-June without much success. However, a popular analyst has projected a 22% rally towards $10.77 if the overhead supply zone is breached.

Whale activity and the MVRV golden cross support the idea of a LINK surge. The MVRV ratio has formed a golden cross by moving above its 200-day moving average, which has historically been a strong bullish signal, resulting in a 155% rally in November 2024 and an 85% move in July 2025.

Despite these signals, volume indicators remain flat, with the CMF and OBV being neutral. The $8.80-$9.00 area and the 78.6% retracement level at $10.04 are key overhead resistance zones that could yield a bearish reaction if Chainlink's price moves into them.