Chainlink Beats Ethereum’s Development Activity, But Shows Low Social Sentiment

February 12, 2022 2:24 pm

Chainlink also took part in the recent recovery that was observed in the crypto market as the Link token of the decentralized Chainlink ecosystem increased by over 14%  after enduring a January price decline.

From a technical analysis perspective, traders see Link’s breach of the $18 level as extremely positive for the currency as it could indicate further bullish strength in the market.

There could be many reasons for the recent resurgence of the blockchain including the overall market recovery as well as recent developments specific to Chainlink as LINK currently holds the 21st spot on Coinmarketcap based on total market cap.

Most surprisingly about the network is that the development activity rivals that of Ethereum indicating significant progress made on the blockchain.

Ambcrypto.com reports:

This resurgence can be attributed to larger market trends.

Interestingly, on-chain analytics platform Santiment revealed that an acceleration in development activity on the network has accompanied its price growth.

So much so that earlier on 7 February, its significant daily GitHub updates managed to cross that of Ethereum, the network upon which Chainlink is built.

LINK developers have been making an average of 304 major update submissions per day, which has surpassed not just Ethereum, but also the most popular blockchain, Bitcoin.

This win appears more significant when Ethereum’s own acceleration in development activity, due to the upcoming merge to ETH 2.0, is considered.

It seems that Chainlink is also taking its developmental roadmap seriously. And, working hard towards introducing staking and the Cross-Chain Interoperability Protocol on the network.

Despite the increase of development activity, the same growth could not be observed for the network’s social sentiments which had been recorded to be declining since January.

Chainlink’s Weighted Social Sentiment indicated decreasing metrics although investors are hoping that a reversal may be coming soon.

Network growth of Chainlink was not looking too good either as charts indicate that the network growth is starting to stagnate and even start a steady decline.

The network growths essentially shows the state of network adoption and how many users are taking part in the ecosystem so the decline in network growth was surprising given that many projects were underway.

Thetimesofsindh.com reports:

Nonetheless, this bullish narrative couldn’t be famous in Chainlink’s social sentiments, which have continued to fall down since mid-January.

Santiment information indicated that Chainlink’s social quantity was right down to 35 at press time, down from a 2022 excessive of 195 achieved on 1 February.

An analogous downfall in Chainlink’s Weighted Social Sentiment may be famous, which dropped to lower than one on the time of writing. Nonetheless, costs are identified to backside out when the metric reaches such lows.

Many speculate that the recent downturn in social activity could probably be correlated to the slump in growth of the crypto market and that recovery in the markets would once again encourage further user adoption.

Investors remain optimistic that the projects that are in progress now will start showing returns in the long-term as the benefits are often not recognized immediately.

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