Chainlink's LINK token performed exceptionally well on Monday 5 February 2024, crossing a threshold not reached since March 2022. The LINK share price has since stabilised at around $18.
After falling to $5 between May 2022 and September 2023, LINK began a spectacular recovery, appreciating by 270% in eight months. This reflects the growing interest in oracle blockchain tokens.
The PYTH token, from oracle Pyth Network launched in November 2023, is also experiencing positive momentum, reaching an all-time high of nearly $0.60, up around 900% since its introduction. The recent integration of PYTH on Binance has contributed to this rise.
The appeal of oracle tokens stems largely from the renewed interest in decentralised finance (DeFi) protocols, particularly those related to real asset tokenisation (RWA). Tokenisation, which involves digitising real assets on the blockchain, simplifies their management and exchange, taking advantage of the benefits of blockchain technology.
Oracles are crucial to tokenisation, providing reliable data on the real-time prices of tokenised assets, which is essential to the smooth operation of DeFi protocols. Without them, blockchains would not be able to integrate effectively into the real economy, making the adoption of cryptocurrencies dependent on their development.
