Chainlink remains a top 25 digital asset by market capitalization. LINK closed May with a market value of approximately $3.55 billion, according to Be[In]Crypto Research.
Although this number seems high due to the massive plunge in the value of other cryptocurrencies, this figure was a 32% dip from its market value on the opening day of the month.
On May 1, LINK saw an impressive trading volume of $458.49 million, which corresponded to a market capitalization of around $5.28 billion.
Why the dwindling market capitalization?
A huge sell-off by individual whales and institutional investors can be credited for the steep decline of the market capitalization of Chainlink.
In May, the number of large transactions involving LINK reached a peak of 415 on May 12 at a price of $6.35.
This corresponded with a large transaction volume of 37.47 million LINK at the same price.
The 37.47 million LINK multiplied by the price of $6.35 equaled a total volume of approximately $238.07 million.
On May 12, LINK opened at $6.92, reached an intraday high of $7.31, tested an intraday low of $5.64, and ended the day at $6.57. The trading volume for the day was $1.09 billion and this corresponded to a market capitalization of $3.07 billion, which was a 41% decrease from the opening day’s market value.
LINK price reaction
LINK opened on May 1, at $11, reached a monthly high of $12.24, tested a monthly low of 5.64, and ended the month at a price of $7.59. Overall, this equates to a 31% decrease between the opening and closing price of LINK in May.