Chainlink rallies 12% after Grayscale drops first LINK ETF

Chainlink (LINK) has gained 8.9%, contributing positively to the CoinDesk 20 index, which reflects a general rise in cryptocurrency performance. This increase comes amid a backdrop of fluctuating market conditions, showcasing Chainlink's resilience in a competitive landscape.

Bitcoin has recently experienced a significant 30% decline, which Grayscale Research describes as a typical market fluctuation that does not indicate a long-term downturn. The firm maintains that this drop aligns with historical price patterns observed in the cryptocurrency's past.

Grayscale has successfully launched the first U.S. exchange-traded fund (ETF) tied to Chainlink, which is now listed on NYSE Arca. This debut is significant as Chainlink secures substantial on-chain value across decentralized finance (DeFi) and gaming sectors, reflecting growing institutional interest in blockchain technologies.

Grayscale has indicated that Bitcoin's recent sell-off in 2025 appears to be a local bottom rather than a peak, suggesting a potential breakout to new highs in 2026, influenced by Federal Reserve policies and upcoming US cryptocurrency regulations.

Grayscale’s Chainlink Trust has successfully converted into the first U.S. Chainlink ETF, receiving approval to trade on NYSE Arca. This marks a significant milestone in the cryptocurrency sector, reflecting a shift in regulatory attitudes as the SEC streamlines the approval process for crypto-related funds.