- Swift has announced that Chainlink’s CCIP will be a core component of a new payment infrastructure that will make it easier for financial institutions to adopt blockchain technology
- LINK has bounced off multi-year support in recent days and could be set to rally from the current price level
- The CoinCodex price prediction algorithm expects LINK to successfully form a new yearly high within the next 3 months, signalling a long-term trend reversal and the beginning of more positive price action
Swift partners with Chainlink to enable cross-chain transactions for financial institutions
Swift, which facilitates cross-border transactions for leading financial institutions, recently announced that it has partnered with Chainlink (LINK) to enable better interoperability between disparate blockchain ecosystems and to aid in the process of tokenization for the traditional financial system.
97% of institutional investors now believe that tokenization will revolutionize asset management, yet Swift stated that a key roadblock to the global adoption of tokenized assets is that value is dispersed between different blockchains. This requires that each company sets up different infrastructure to interact with each blockchain, which can be costly and time consuming.
By partnering with Chainlink to use the Web3 company’s cross-chain interoperability protocol (CCIP), Swift aims to provide more efficient operations for institutions who are seeking to integrate tokenized assets with their financial services.
In a new results report, Swift, #Chainlink, and more than a dozen of the largest financial institutions and market infrastructure providers successfully demonstrated a secure and scalable way to transfer tokenized assets cross-chain using CCIP.— Chainlink (@chainlink) August 31, 2023
• Connected existing… pic.twitter.com/AfJajWAF8F
Tom Zschach, Chief Innovation Officer at Swift, stated, “Interoperability is at the heart of everything we are doing at Swift to facilitate the seamless flow of value around the world.”
Swift conducted an experiment with several of its partnered institutions to integrate the Swift network with Chainlink’s CCIP. The company found that this provided a “secure, scalable way for financial institutions to connect to multiple types of blockchain.”
LINK price recovers 4.7% since recent retrace: Could this signal an upcoming breakout?
The price of LINK fell by 9.46% between the 29th and 31st August, retesting a support level at $5.85 that has been holding strong since May 2022. Since 2020, the only time that LINK has closed below this level was in June this year, which may have indicated further downside potential.
However, LINK’s recent retest saw a quick bounce and a positive reaction. LINK has climbed by almost 5% since its retrace and finds itself close to resistance at the $6.12 price level. From here, the CoinCodex price prediction algorithm expects LINK to break-out, forecasting a 29.33% price rise over the coming month.
1-Month LINK price prediction, via CoinCodex
LINK’s forecasted price action for the next month could mark the beginning of an important shift. The projected peak of $8.71 would take the token close to its yearly high. If LINK can successfully break through this level, it would mark the first higher-high since November 2021 when LINK was trading at $38.
With that in mind, the CoinCodex price prediction algorithm expects LINK to break through this price level within the next 3 months. This could mark the end of a multi-year bear trend, with a further 428.28% move to the upside being predicted by the algorithm over the next 12 months.
Swift has found Chainlink’s ecosystem to be perfectly suited to enabling the adoption of blockchain technology for financial institutions. The company’s recent tests have suggested that institutions can seamlessly transfer value around the world at reduced cost using blockchain technology, without the need to fragment operations while using different networks.
After a multi-year downtrend, the CoinCodex algorithm is now signalling that a reversal could be in sight for LINK. Any successful breakthrough from the current price level could take the token back to its yearly high, with a full-blown resurgence being expected within the next 12 months.