Ondo (ONDO) Poised for Growth, Bullish Signals Fuel $2 Projections

Ondo (ONDO) Price Analysis: Bullish Signals Point to $2 Potential

Calls for Ondo (ONDO) to reach a new all-time high dominated the market after the price surged to $1.48 on June 3. However, the token has since retraced, now down 17.64% from its peak.

When analyzing a cryptocurrency’s prospective price, on-chain data provides crucial insights that can guide investors’ decisions. For ONDO, recent developments indicate a potential return to bullish territory.

Cheaper Spend Can Lead to Higher Prices

Launched at around $0.11, ONDO has seen a remarkable 658% increase over the last year, driven by strong fundamentals and the rising popularity of Real World Asset (RWA) narratives. This performance has drawn significant attention from investors.

The Realized Cap, which measures the average value weighted by the price paid by token holders, shows that increases occur when tokens are spent at cheaper prices. Conversely, the value decreases when tokens are spent at higher prices. This metric acts as an on-chain indicator of support or resistance.

Currently, ONDO’s Realized Cap stands at $1.15 billion. Compared to its market cap of $1.70 billion, this suggests that the price could continue its upward trend.

Tokens Continue to Leave Circulation

While the Realized Cap has increased, the Mean Coin Age (MCA) has taken the opposite direction. The MCA tracks the average age of all tokens on the blockchain, indicating whether trading activity is increasing or if holders are keeping their tokens out of circulation.

Santiment data shows that the 90-day MCA for ONDO has plummeted, indicating that holders are refraining from sending tokens to exchanges, opting instead for self-custody. If this trend continues, ONDO’s price could break past its all-time high, bringing the $2 prediction within reach.

Outside of price action, the Total Value Locked (TVL) in Ondo continues to climb. According to DeFiLlama, Ondo’s TVL stands at $549.18 million, an 18.32% increase over the last 30 days.

ONDO Price Prediction: Is a 15% Increase Next?

With rising TVL, technical analysis also points to further gains for ONDO. The Exponential Moving Average (EMA), a key technical indicator, shows that ONDO is trading above the 20 EMA (blue) at $1.20, a bullish sign that suggests the price may not fall below $1.19.

Additionally, ONDO is trading above the 50 EMA (yellow), indicating a potential upward trend in the short term. If this momentum continues, ONDO could see a 15% increase to $1.39, and possibly break through its all-time high of $1.48 if large investors (whales) continue to buy.

In summary, ONDO is showing strong bullish signals with potential for significant gains, driven by on-chain metrics, technical indicators, and increasing TVL. Investors should watch for key resistance levels and market sentiment as ONDO aims for new highs.

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button