Chainlink (LINK) leverage has returned to levels seen before October's liquidation cascade, even as LINK remains about 57% below its October price. Chainlink is a decentralized oracle network that supplies real-world data to smart contracts, and LINK is its native token. According to on-chain analytics firm Santiment, open interest reached nearly 29 million LINK, with positive funding throughout the buildup suggesting that long positions drove much of the recent increase in leverage. LINK trades near $9.41 after moving above its 50-day and 200-day moving averages, with $9.50 and $10 emerging as key resistance levels.

Open Interest Rebuilds After the Crash

Open interest — the total number of outstanding derivative contracts that have not yet been settled — is a standard proxy for leverage in perpetual futures markets. Funding rates track the periodic payments exchanged between long and short positions, and sustained positive funding typically accompanies long-heavy positioning.

According to Santiment, LINK-denominated open interest climbed above its October 9 level, marking the first such reading since the October 10 liquidation cascade. Liquidation cascades occur when price moves force leveraged positions to close, and the resulting closures can compound the move that triggered them. In dollar terms, open interest remains near $279 million. That figure compares with roughly $555 million before the crash. Despite the recovery in coin-denominated open interest, LINK trades about 57% below its October level.

Funding remained positive every day during the buildup, meaning the added open interest has leaned toward long positions. The current level remains below the August 2025 peak. Open interest then reached nearly 34 million LINK, making the latest increase a rebuild.

LINK Moves Above Key Averages

The 50-day and 200-day moving averages are two of the most widely followed trend benchmarks in technical analysis, and price holding above both, with the shorter average above the longer one, is the configuration analysts generally associate with uptrend structure. LINK reached about $10.90 in early May before falling toward $7.20-$7.30 in late June. Through July and early August, LINK formed higher lows before crossing the $8.50-$9.00 range. The 50-day moving average sits at $8.99, while the 200-day average is at $8.51. LINK trades above both levels, and the MA50 remains above the MA200.

By contrast, network activity remains much lower than its May reading. Daily active addresses, a common measure of on-chain usage, reached nearly 284,000 around early May, compared with about 1,237 recently. The rebound in price and leverage has therefore not been matched by a comparable pickup in on-chain activity.

Analysts Watch $10 and Below

Analyst Michael van de Poppe said he expects LINK could move toward $10.03 before reaching his preferred entry levels. He said he is watching those levels for bids. On higher timeframes, van de Poppe said LINK has started trending upward, and he also expects higher numbers going forward.

The supplied chart places resistance around $9.48-$9.50, followed by $10.00. The next major region is between $10.45 and $10.90. Support levels include $8.99, $8.51, and the $8.00-$8.20 zone. A break below $8.51 would weaken the stated bullish technical structure.

Beyond the chart levels, the positioning data itself remains a watch point: leverage is back near its pre-cascade level, the August 2025 peak near 34 million LINK stands as the next reference for open interest, and daily active addresses remain far below their May reading.