Bitcoin News Today: Regulators Could Open Door for Institutional LINK Adoption via New ETF Model

Bitwise, a prominent crypto asset manager, has submitted a filing with the U.S. Securities and Exchange Commission (SEC) to launch an exchange-traded fund (ETF) that directly holds Chainlink’s native token, LINK, according to a recent SEC filing. This marks a significant development for the token, as the proposed ETF will allow investors to gain exposure to Chainlink in a more traditional and regulated investment vehicle. The filing indicates that the tokens would be held with Coinbase Custody Trust Company, a custodian already used by major crypto ETFs such as BlackRock’s iShares Bitcoin Trust and iShares Ethereum Trust. This custodial arrangement adds credibility and aligns the Chainlink ETF with existing market norms.

The ETF will feature in-kind creation and redemption, meaning that investors can exchange their LINK tokens for shares of the ETF and vice versa, a feature that has recently been permitted by the SEC. This mechanism enhances liquidity and may appeal to institutional investors seeking efficient ways to access or exit positions in the token. Bitwise has previously applied for ETFs for Solana, XRP, Dogecoin, and Aptos, showcasing its strategy to diversify its crypto offerings. Notably, the firm’s Bitcoin and Ethereum ETFs have already attracted significant inflows, with $2.2 billion and $461 million in net inflows, respectively.

Chainlink’s price recently experienced a modest 5% rebound following the news of the ETF filing, though it remains under bearish pressure according to technical analysis models. At the time of the filing, the token traded at around $24.27, having peaked earlier at $24.70 before retreating. Trading volume has decreased by 14.3% to $3.8 billion, and open interest—representing the total value of open futures and options contracts—has fallen to $1.7 billion, reflecting a cooling in speculative activity. Despite this, the broader crypto market has also been in a downtrend, with Bitcoin falling below $110,000 amid macroeconomic uncertainty.

Analysts and industry experts are closely watching the potential approval of the Bitwise Chainlink ETF, as it could signal a broader trend of institutional adoption for altcoins. M31, a venture capital firm, has expressed a bullish outlook on LINK, citing Chainlink’s entrenched presence in banking infrastructure, market systems, and leading crypto protocols as a source of high switching costs and long-term revenue potential. The firm’s optimism reflects a growing belief in Chainlink’s role as a foundational component of decentralized finance (DeFi) and blockchain-based smart contracts.

Looking ahead, various price forecasts for Chainlink vary significantly. A detailed price analysis from Changelly projects the token reaching up to $73.96 by the end of 2032, with potential returns ranging from 105.9% in 2030 to as high as 91,199.6% by 2050, though these predictions should be taken with caution due to the inherent volatility of the crypto market. Short-term predictions, however, are more conservative. Blockchain News, for example, forecasts a potential move to $30 by September 2025, with a possible pullback to $22 before the upward trend resumes. This suggests that while long-term optimism remains, the near-term path for Chainlink is likely to involve consolidation and testing of key support and resistance levels.

The broader implications of the Bitwise Chainlink ETF filing are significant. If approved, it could catalyze increased institutional interest in LINK, mirroring the surge in demand seen for Bitcoin and Ethereum ETFs. This could lead to greater market stability for Chainlink, as ETF structures typically attract long-term investors who are less prone to the short-term volatility that characterizes the crypto markets. Additionally, the availability of a regulated product like an ETF may encourage a wider range of investors, including those who have been hesitant to directly purchase or trade individual crypto tokens.

However, the success of the Bitwise Chainlink ETF will depend on several factors, including regulatory scrutiny, market sentiment, and macroeconomic conditions. The SEC has recently shown a more favorable stance toward crypto ETFs, particularly under the Trump administration, but the approval process remains rigorous. Investors and market participants will need to monitor developments closely, as the filing is just the first step in what could be a lengthy regulatory process.

Source:

[1] Bitwise Files for Chainlink ETF With In-Kind Creation and ... (https://finance.yahoo.com/news/bitwise-files-chainlink-etf-kind-165536862.html)

[2] Chainlink Price News: 5% Bounce on Spot LINK ETF Filing ... (https://www.coindesk.com/markets/2025/08/26/bitwise-files-to-launch-a-spot-chainlink-etf-link-bounces-5)

[3] Chainlink (LINK) Price Prediction 2025 2026 2027 - 2030 (https://changelly.com/blog/chainlink-link-price-prediction/)

[4] LINK Price Prediction: Targeting $30 by September 2025 ... (https://blockchain.news/news/20250827-price-prediction-link-targeting-30-by-september-2025-despite)

[5] Chainlink's $52 Price Prediction is Ambitious, This Altcoin ... (https://crypto-economy.com/chainlinks-52-price-prediction-is-ambitious-this-altcoin-dubbed-the-next-cardano-could-see-greater-returns/)