LINK Rallies as SEC Approves Bitwise Chainlink Spot ETF

• The SEC has approved the Bitwise Chainlink Spot ETF, making Chainlink one of the first altcoins to gain a regulated ETF.
• The ETF allows investors to gain exposure to LINK without holding the token, with custody by Coinbase and BNY Mellon. According to reports
• LINK price rallied over 11% in the past week, with trading volume surging nearly 45% in the last 24 hours. Market data shows
• Institutional demand for Chainlink is growing, with Grayscale's LINK Trust already holding over $87 million in assets. As reported

Chainlink (LINK) is entering a new phase of institutional adoption after the U.S. Securities and Exchange Commission approved the Bitwise Chainlink Spot ETF. The fund, trading under the ticker CLNK on NYSE Arca, provides a regulated pathway for both retail and institutional investors to gain exposure to the oracle token. This milestone could significantly boost demand for LINK and support its long-term growth.

What Is the Bitwise Chainlink ETF and How Does It Work?

The Bitwise Chainlink ETF (CLNK) is a spot-based fund that holds the underlying LINK token. It offers investors a way to gain exposure to Chainlink's price movements without the need for self-custody or direct crypto ownership. The ETF is structured with a management fee of 0.34%, waived for the first three months on up to $500 million in assets. Bitwise seeded the fund with $2.5 million, equal to 100,000 shares priced at $25 each.

The approval marks Chainlink as one of the first altcoins to transition into a regulated Wall Street product. Bitwise's strategic focus on Chainlink highlights the project's unique position as the bridge between traditional finance and blockchain technology. Chainlink secures tens of billions of dollars in smart contracts and provides decentralized data feeds essential for the DeFi ecosystem. As noted in industry reports, Chainlink's Cross-Chain Interoperability Protocol (CCIP) has become the industry standard for cross-chain value transfer. The ETF addresses the growing institutional demand for compliant altcoin exposure. It also lists LINK staking as a secondary objective, though no timeline has been set and Attestant Ltd is the preferred staking provider if implemented. According to the fund structure.

How Could the ETF Approval Impact LINK's Price and Institutional Demand?

The ETF approval has already sparked a positive market reaction, with LINK gaining over 11% in the past week to trade near $13.86. Market analysis shows trading volume surged nearly 45% in the last 24 hours, indicating renewed interest from both retail and institutional traders. Futures open interest also climbed to around $665 million, suggesting new positions are being opened. Market analyst Ali Martinez noted that LINK could continue moving higher, with the next key level near $14.63. As reported.

Analysts see the ETF as a catalyst for sustained institutional demand. Grayscale's existing Chainlink Trust (GLNK) has already attracted over $87 million in assets, and the addition of Bitwise's ETF could further expand the investor base. This increased accessibility may drive long-term buying pressure and potentially push LINK toward key resistance levels. Institutional inflows into Grayscale's product have already surpassed $62 million, indicating strong interest. The launch of the Bitwise ETF is considered to have the potential to provide an additional boost to the price of LINK.