Chainlink (LINK): A Deep-Value Infrastructure Play in the 2025 Crypto Bull Run

In the 2025 crypto bull run, infrastructure projects are emerging as the bedrock of innovation, with Chainlink (LINK) standing out as a prime example of undervalued institutional-grade blockchain technology. As decentralized finance (DeFi) and real-world asset (RWA) tokenization gain traction, Chainlink’s oracle network has solidified its dominance, securing over $93 billion in on-chain value across 60+ blockchains and powering 83% of Ethereum’s DeFi ecosystem [1]. With a market share of 67–68% in the oracle sector, Chainlink is not just a participant in the crypto revolution—it is its backbone [2].

Institutional-Grade Infrastructure: The Chainlink Edge

Chainlink’s Cross-Chain Interoperability Protocol (CCIP) has become a universal connector, enabling seamless data and token transfers across diverse blockchains, from Ethereum to Solana and beyond [1]. This infrastructure is now critical for enterprises seeking to tokenize real-world assets, such as real estate and commodities, and integrate them into blockchain ecosystems. For instance, the Reserve Bank of Australia’s Project Acacia—a collaboration with Chainlink—demonstrates how traditional financial systems are adopting blockchain for asset tokenization, with Chainlink acting as the trusted oracle layer [6].

Institutional partnerships further validate Chainlink’s role in bridging Web3 and traditional finance. Strategic alliances with SWIFT, DTCC, and major banks like JPMorgan and UBS highlight its ability to meet institutional-grade compliance and scalability demands [4]. These partnerships are not mere gestures; they represent a fundamental shift in how global financial infrastructure is being reimagined. As one analyst notes, “Chainlink is the plumbing of the new financial internet, and its value is only beginning to be recognized” [5].

Deflationary Flywheel: Supply Reduction Meets Demand Surge

Chainlink’s tokenomics are engineered to create a self-reinforcing deflationary cycle. The Chainlink Reserve, an on-chain vault, automatically converts enterprise revenue and service fees into LINK tokens, which are then permanently locked up for years [1]. This mechanism, combined with Payment Abstraction infrastructure—allowing fees to be paid in various tokens or fiat and converted to LINK via CCIP and Uniswap V3—reduces circulating supply while aligning incentives for long-term holders [1].

The flywheel effect is already in motion. Increased adoption in RWA tokenization and DeFi protocols like Aave and GMX drives higher revenue, which in turn locks more LINK tokens. Staking now accounts for 40% of the circulating supply, offering annualized yields of 5–7%, further reducing sell pressure [4]. Analysts project that this deflationary model could reduce the circulating supply by double digits in 2025, creating scarcity that contrasts sharply with the current price of $22.47 [3].

Price Targets and the Path to $40+

Despite its dominance, LINK remains undervalued relative to its fundamentals. Analysts have set near-term price targets of $30–$40, citing institutional adoption, whale accumulation, and the deflationary flywheel [1]. On-chain metrics reinforce this optimism: over 9,800 wallet transfers in mid-August and significant inflows into staking pools indicate strong demand [4].

Long-term projections are even more bullish. If macroeconomic conditions and regulatory clarity align, some experts predict a 340% rally to $100, driven by Chainlink’s role in RWA tokenization and cross-chain interoperability [2]. The key catalysts? Continued enterprise integrations, expansion of CCIP to 46+ blockchains, and the compounding effects of its deflationary model.

Conclusion: A Foundation for the Future

Chainlink’s value proposition is clear: it is the infrastructure layer enabling the next phase of blockchain adoption, from DeFi to RWA and institutional finance. With a dominant market share, strategic partnerships, and a deflationary token model, LINK is positioned to outperform in the 2025 bull run. At $22.47, the token offers a compelling entry point for investors seeking exposure to a project that is not just surviving the crypto winter but building the rails for the future.

Source:
[1] Chainlink Statistics 2025: TVS, Staking & Price Momentum [https://coinlaw.io/chainlink-statistics/]
[2] Chainlink Price Prediction: How This Infrastructure Giant is Positioned to Dominate the 2025 Crypto Bull Run [https://cryptodnes.bg/en/chainlink-price-prediction-how-this-infrastructure-giant-is-positioned-to-dominate-the-2025-crypto-bull-run/]
[3] Discussing Succinct from a Tokenomics Perspective [https://www.binance.com/en-IN/square/post/28744682332217]
[4] Chainlink Price Hits 7-Month High Fueled by Wallet Growth, Whale Accumulation, and Institutional Adoption [https://coinlaw.io/chainlink-price-rally-wallets-whales-rwa/]
[5] Chainlink (LINK) Bull Run Thesis 2025: 3 Key Drivers, Tokenomics Flywheel, and Upside Potential - @milesdeutscher [https://blockchain.news/flashnews/chainlink-link-bull-run-thesis-2025-3-key-drivers-tokenomics-flywheel-and-upside-potential-milesdeutscher]
[6] How Chainlink Secures Over $93B Across Blockchains: The Orchestration Layer of Web3 [https://www.ccn.com/education/crypto/chainlink-orchestration-layer-securing-over-93b-blockchains-web3/]