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Chainlink Gets Two Major Catalysts: New ETF and Commodity Status Push LINK Higher

MarketDash Editorial Team
2 hours ago
Chainlink jumped 4% as Bitwise launched a spot ETF with zero fees for three months and a Senate bill granted it Bitcoin-like commodity status, potentially setting up a breakout after 14 months of consolidation.

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Chainlink (LINK) is having a moment. The token climbed 4% over the past 24 hours, and there are two specific reasons why: Bitwise just launched a spot Chainlink ETF on NYSE Arca, and a Senate Banking Committee draft bill dropped Tuesday that treats LINK the same way regulators treat Bitcoin (BTC)—as a commodity, not a security.

Those aren't small developments. For a crypto asset trying to break into mainstream institutional portfolios, regulatory clarity and accessible investment vehicles matter a lot.

Bitwise Rolls Out Zero-Fee ETF to Attract Early Adopters

Bitwise received approval to list its spot Chainlink ETF under the ticker CLNK, and trading is expected to begin this week. To sweeten the deal, the firm is waiving all fees for the first three months on up to $500 million in assets. After that, the management fee drops to 0.34%.

The fund launched with $2.5 million in seed capital, structured as 100,000 shares priced at $25 each. Coinbase Custody will handle the LINK holdings, while BNY Mellon manages the cash side.

There's also a secondary objective listed around LINK staking, but no timeline has been confirmed. If staking does get introduced down the line, Attestant Ltd. has been named as the preferred provider.

Market response was immediate. Daily trading volume jumped nearly 45% following the announcement, and futures open interest climbed to $665 million. That suggests new positions are being built, not just short-term speculation.

Senate Bill Grants LINK the Same Commodity Status as Bitcoin

The regulatory side might be even more interesting. The Senate Banking Committee released a draft bill Tuesday that classifies Chainlink as a commodity under CFTC oversight, not a security under SEC rules. That's the same treatment Bitcoin gets.

LINK qualifies as a "non-ancillary asset" because a Chainlink ETF was already trading on major exchanges before January 1. This eliminates SEC disclosure requirements and removes a lot of the regulatory uncertainty that's been hanging over altcoins.

For institutional investors who've been sitting on the sidelines, that clarity matters. It's one less reason to say no.

Grayscale's Chainlink ETF Shows Institutional Demand Is Real

Grayscale's Chainlink ETF has already reported steady inflows surpassing $62 million. Now with Bitwise's spot ETF entering the market this week, institutional exposure to LINK is expanding, which should support continued demand.

Bitwise manages around $15 billion in crypto assets and has a solid track record with Bitcoin and Ethereum (ETH) ETFs. That gives the Chainlink product credibility with the kind of institutional investors who care about regulatory compliance and fund management experience.

LINK Tests Breakout After 14 Months of Compression

From a technical perspective, LINK is attempting to break out of a massive triangle pattern that's been squeezing price action since November 2024's $31 peak. The triangle has spent over a year compressing price between converging trendlines, and those setups typically precede explosive moves.

The token is sitting just below critical resistance at $14-$15. Multiple technical indicators cluster in this zone, and breaking above $15 would be the first real confirmation that LINK is ready to make a serious move higher.

The Road to $30 Opens Above $18

Here's the roadmap: LINK needs to break above $18 to escape the triangle's grip and target the $24-$32 zone where major supply sits from the previous rally. The setup is straightforward—breaking $15 opens $16, then $18. Clearing $18 targets $20-$22, with the ultimate goal being $24-$30.

On the downside, support sits at $12.90-$13.00. Breaking $12 would invalidate the triangle pattern and target $10-$11, or lower to $8-$9.

The combination of a 14-month compression pattern and dual fundamental catalysts creates an interesting setup. Triangles like this often lead to sharp breakouts, and now there are concrete reasons for institutional money to enter. Whether LINK can actually repeat the kind of rally XRP saw remains to be seen, but the pieces are falling into place.

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Chainlink Gets Two Major Catalysts: New ETF and Commodity Status Push LINK Higher

MarketDash Editorial Team
2 hours ago
Chainlink jumped 4% as Bitwise launched a spot ETF with zero fees for three months and a Senate bill granted it Bitcoin-like commodity status, potentially setting up a breakout after 14 months of consolidation.

Get Market Alerts

Weekly insights + SMS alerts

Chainlink (LINK) is having a moment. The token climbed 4% over the past 24 hours, and there are two specific reasons why: Bitwise just launched a spot Chainlink ETF on NYSE Arca, and a Senate Banking Committee draft bill dropped Tuesday that treats LINK the same way regulators treat Bitcoin (BTC)—as a commodity, not a security.

Those aren't small developments. For a crypto asset trying to break into mainstream institutional portfolios, regulatory clarity and accessible investment vehicles matter a lot.

Bitwise Rolls Out Zero-Fee ETF to Attract Early Adopters

Bitwise received approval to list its spot Chainlink ETF under the ticker CLNK, and trading is expected to begin this week. To sweeten the deal, the firm is waiving all fees for the first three months on up to $500 million in assets. After that, the management fee drops to 0.34%.

The fund launched with $2.5 million in seed capital, structured as 100,000 shares priced at $25 each. Coinbase Custody will handle the LINK holdings, while BNY Mellon manages the cash side.

There's also a secondary objective listed around LINK staking, but no timeline has been confirmed. If staking does get introduced down the line, Attestant Ltd. has been named as the preferred provider.

Market response was immediate. Daily trading volume jumped nearly 45% following the announcement, and futures open interest climbed to $665 million. That suggests new positions are being built, not just short-term speculation.

Senate Bill Grants LINK the Same Commodity Status as Bitcoin

The regulatory side might be even more interesting. The Senate Banking Committee released a draft bill Tuesday that classifies Chainlink as a commodity under CFTC oversight, not a security under SEC rules. That's the same treatment Bitcoin gets.

LINK qualifies as a "non-ancillary asset" because a Chainlink ETF was already trading on major exchanges before January 1. This eliminates SEC disclosure requirements and removes a lot of the regulatory uncertainty that's been hanging over altcoins.

For institutional investors who've been sitting on the sidelines, that clarity matters. It's one less reason to say no.

Grayscale's Chainlink ETF Shows Institutional Demand Is Real

Grayscale's Chainlink ETF has already reported steady inflows surpassing $62 million. Now with Bitwise's spot ETF entering the market this week, institutional exposure to LINK is expanding, which should support continued demand.

Bitwise manages around $15 billion in crypto assets and has a solid track record with Bitcoin and Ethereum (ETH) ETFs. That gives the Chainlink product credibility with the kind of institutional investors who care about regulatory compliance and fund management experience.

LINK Tests Breakout After 14 Months of Compression

From a technical perspective, LINK is attempting to break out of a massive triangle pattern that's been squeezing price action since November 2024's $31 peak. The triangle has spent over a year compressing price between converging trendlines, and those setups typically precede explosive moves.

The token is sitting just below critical resistance at $14-$15. Multiple technical indicators cluster in this zone, and breaking above $15 would be the first real confirmation that LINK is ready to make a serious move higher.

The Road to $30 Opens Above $18

Here's the roadmap: LINK needs to break above $18 to escape the triangle's grip and target the $24-$32 zone where major supply sits from the previous rally. The setup is straightforward—breaking $15 opens $16, then $18. Clearing $18 targets $20-$22, with the ultimate goal being $24-$30.

On the downside, support sits at $12.90-$13.00. Breaking $12 would invalidate the triangle pattern and target $10-$11, or lower to $8-$9.

The combination of a 14-month compression pattern and dual fundamental catalysts creates an interesting setup. Triangles like this often lead to sharp breakouts, and now there are concrete reasons for institutional money to enter. Whether LINK can actually repeat the kind of rally XRP saw remains to be seen, but the pieces are falling into place.