Chainlink (LINK) has experienced a significant decline today, driven by broader market trends affecting major cryptocurrencies. The drop comes amid stronger-than-expected U.S. economic data, which has led to a reassessment of future Federal Reserve rate cuts. The Bureau of Labor Statistics reported an unexpected rise in job openings, while the ISM Services Purchasing Managers Index also exceeded expectations. These reports have pushed U.S. bond yields higher, creating a ripple effect across financial markets, including cryptocurrencies. As a result, LINK, along with other altcoins, has faced downward pressure.
The market's reaction to the economic data has been swift, with nearly $300 million in long positions liquidated across crypto derivatives markets. This marks the first significant leverage flush of the year, as investors adjust their positions in response to the changing economic landscape. Chainlink's decline is part of a broader trend affecting altcoins, with Ethereum and Solana also experiencing notable losses. The CoinDesk 20 Index, which tracks the performance of major cryptocurrencies, has reported a decline, with LINK being one of the laggards.
Chainlink's price has fallen by 9.26% today, reaching a low of $21.614712. The cryptocurrency's price movement reflects the broader market's response to the economic data and the subsequent impact on investor sentiment.