Chainlink Holds Key Support as Fidelity and DTCC Deepen Institutional Use

Chainlink's LINK token hovered around $10 support as major financial institutions broaden their use of the network's infrastructure for tokenized products and reporting. LINK was trading near $10.31 on Wednesday, up 3.56% over the past week. The token stayed above its weekly 20-week moving average (MA20) at $9.86, while remaining below the 50-week moving average (MA50) at $14.46 and the 200-week moving average (MA200) at $12.51. The setup suggests short-term stabilization, but the broader downtrend remains intact. On the institutional front, Fidelity International launched the Fidelity USD Digital Liquidity Fund, a tokenized liquidity product built with Chainlink infrastructure. The fund uses decentralized oracle services to publish real-time net asset value and distribution reporting on-chain. The rollout includes collaboration with Sygnum Bank and market data support from JPMorgan Chase. DTCC added another potential use case. The Depository Trust & Clearing Corporation said it plans to integrate Chainlink technology into its forthcoming Collateral AppChain platform, aiming to improve collateral operations and accelerate settlement for tokenized financial assets. Despite the recent rebound, weekly indicators continued to point to limited upside. MACD and the Average Directional Index remained on sell signals, while the Relative Strength Index and Stochastic RSI stayed in overbought territory. Bull Bear Power showed strong buying activity, but longer-term signals still reflected broader bearish pressure. Volatility over the week measured 11.26%, with LINK trading near the middle of its recent range. Analysts expect a $10.15 to $11.45 band over the next seven days unless buying volume strengthens. Traders are watching $11.45 as near-term resistance; a sustained break above it could improve momentum, while a drop below $10.15 may revive downside pressure. LINK has rebounded from lower support after buyers defended prices near the weekly moving average. Trading activity also picked up as investors reacted to the institutional adoption narrative around tokenized funds and blockchain-based settlement systems. Caution persists, with LINK still below two major long-term moving averages and traders assessing whether short-term demand can absorb selling near higher resistance levels. Tags: chainlink, cryptocurrency, LINK