Chainlink Price Dives 20% Amid Trump Tariffs and Weak Jobs Data

Chainlink (LINK) has experienced a significant price drop, falling to $15.68 as of the latest data, about 20% below its peak of $20.26 in July 2025[1]. The decline mirrors a broader downturn in the cryptocurrency market, with Bitcoin and most altcoins also underperforming[1]. The sell-off has been attributed to President Donald Trump’s imposition of tariffs on countries including South Africa, Switzerland, and India, as well as weak U.S. jobs data showing only 73,000 new jobs in July and an unemployment rate of 4.2%[1].

Despite the bearish trend, data from Nansen indicates increased whale activity. Whale holdings of LINK have grown by 13% in a month, reaching 3.84 million tokens, up from 3.38 million in early July[1]. At the same time, the supply of LINK on exchanges has declined from 283 million in July to 276.88 million, signaling reduced selling pressure and a potential bullish reversal[1].

Technical analysis highlights that LINK has fallen below key support levels, including the $17.96 threshold and the 61.8% Fibonacci retracement at $16.82[1]. According to the Elliot Wave model, the price appears to be entering the second phase of a corrective wave, suggesting that the third phase could push the price to $25.60, a 62% increase from the current level[1]. MasterAnanda, a prominent trader on TradingView, has observed limited downward pressure on LINK due to strong support and a lack of sellers, adding to the possibility of a rebound[2].

Another potential catalyst for a price recovery is the nearing conclusion of the token claim period for SXT, a token from the crypto infrastructure firm Space and Time. The company has allocated 4% of its SXT supply to Chainlink ecosystem participants. The first 100 million tokens, valued at $8 million, will be available for claiming until August 8, providing an additional incentive for LINK stakers to remain engaged with the network[1].

Analysts have varied outlooks on the price trajectory. Elliott Wave-Forecast suggests an upside target of $3.80 to $4.50 if the wave pattern holds[3], while other observers believe that LINK needs to break above $18 to push toward $20[4]. Given the accumulation by whales, declining exchange supply, and the potential SXT distribution, the coming weeks will be crucial in determining whether the bearish trend reverses into a bullish recovery.

Source: [1] Elliot Wave points Chainlink price rebound as whales buy (https://crypto.news/elliot-wave-points-chainlink-price-rebound-whales-buy/)

[2] MasterAnanda — Trading Ideas and Scripts (https://www.tradingview.com/u/MasterAnanda/)

[3] Cryptocurrency - World Market Live (https://worldmarketlive.com/cryptocurrency/)

[4] Chainlink Stalls Below $18: Can LINK Price Break Out Toward ... (https://primecryptoworld.com/chainlink-stalls-below-18-can-link-price-break-out-toward-25/)