On Tuesday, February 3, Lido DAO (LDO) is trading at $0.4239, up 1.85% in the last 24 hours, according to CoinMarketCap data. Its market capitalization is at $359.47 million.
The trading volume has increased by 9.68%, indicating a surge in short-term traders following a period of increased selling pressure. Lido DAO has been down 17.63% over the last week as the bearish momentum continues to dominate the market.
Source: CoinMarketCap
LDO Stuck in Bearish Channel
Crypto analyst Marcus Corvinus highlighted that Lido DAO is still within a descending channel on the weekly chart. This descending channel has a bearish market structure. Sellers are still in full control of the price direction.
The price is currently testing the range of $0.40-$0.45. This price range has previously been a buying point during a downtrend. However, the current buying pressure is short-term in nature. There has been no signal of a trend reversal.
Lido DAO has repeatedly failed to break past the upper boundary of the descending channel. According to analysts, each time Lido DAO has been rejected at the upper boundary of the descending channel, it has been a sign of bearish control. The market is limiting counter-trend movements.
Source: X
A change in sentiment will require LDO to retake the channel’s midline. The midline has not been retaken recently. Further sell-offs below this level will maintain the current pressure. Further support levels will come into play if the bearish momentum persists further.
Also Read: Lido DAO (LDO) Price Faces Pressure as Chart Flags $0.69 Target
Open Interest Rises as LDO Nears Key Levels
According to CoinGlass data, the volume has risen by 6.90% to $113.14 million. The Open Interest has increased by 0.99% to $48.87 million. The OI-Weighted Funding Rate is at 0.0029%, indicating stability in the futures market.
Source: CoinGlass
According to CoinLore data, LDO needs to hold at $0.2724 to avoid further sell-offs. A breakout above $0.5546 will pave the way for additional upside, with a target of $0.7126. The next resistance level is at $0.9416, indicating a major resistance level that will prevent any potential upside in the price.
RSI and MACD Highlight Strong Selling Pressure
The Relative Strength Index is at 28.19 on the daily chart, with the signal line at 32.73. The RSI has entered the oversold region. The selling momentum is still high at these levels. The Moving Average Convergence Divergence indicates that the MACD line is at -0.0439, with the signal line at -0.0320. The histogram is in the negative region.
Source: TradingView
LDO continues to trade within a bearish pattern. The support levels are under pressure. Traders are monitoring reactions closely for the next directional signal.
Also Read: XRP Price Risks Repeating 2022 Crash as New Buyers Go Underwater
