Chainlink (LINK) exchange supply at lowest since 2020 amid surged staking

Chainlink holdings on exchanges have plummeted to the lowest levels since February 2020. Meanwhile, the platform's latest staking initiative likely triggered an optimistic stance among LINK holders.

LINK’s balance on crypto exchanges has plunged to 15% of the coin’s overall supply. Meanwhile, the massive token reduction supports an upside narrative since it signals declined selling momentum.

Chainlink launched staking version 2 for its holders on November 28. Meanwhile, multiple v1 stakers transferred their assets to the updated version within a day of launch. That saw LINK coins leaving exchanges massively.

Chainlink’s newer staking version triggers a bullish outlook

Chainlink rewards individuals who stake their tokens as it heightens the blockchain’s security. The crypto released its staking version 0.1 in December 2020. The staking pool had 25 million coins. Meanwhile, v.02 comes with a 45 million token pool size.

The blockchain prioritizes the migration of staked assets to v0.2 from v0.1 as it expands the ecosystem to onboard more participants. 68% of v0.1 LINK stakers transferred their tokens to the upgraded version. Meanwhile, stakers have one week of access to v0.2 (up to December 11).

LINK price outlook

Chainlink joined the latest broad market upsurges as its price increased by nearly 30% in the past month. It changed hands at $14.58 at press time, following a 1.47% 24-hour dip.

LINK's slight plunge mirrors today’s crypto market outlook. Bitcoin and Ethereum lost 1.14% and 0.94% in the past day. Nonetheless, invezz.com highlighted Chainlink as among the crypto asset for prospective buyers..