ONDO continues to trade within a defined sideways range, reflecting a market still searching for direction after a sharp drop earlier this year. Data shared shows the token moving consistently between support near $0.24 and resistance around $0.29 to $0.30.
The price action has been contained in this range, and the repeated reactions on both levels have confirmed the price structure. The price fell during the early part of February, but it has been in the consolidation phase, forming a horizontal channel.
The price action has been supported on the lower end, indicating buying pressure, while it has been capped on the higher end, indicating selling pressure.
This is an equilibrium situation, but the overall trend is slightly bearish, and the price action has been stabilizing, awaiting direction.
Source: X
Momentum Builds Slowly but Breakout Still Missing
From the price action, there is a slight recovery attempt in the market. The price of ONDO has been making higher lows since the bottom of the range.
However, the price of the token has not managed to rise to the mid-range price. This is an indication that the price is not rising strongly. A breakout above the $0.30 price mark is the first sign of a structural shift.
For this to happen, there will need to be sufficient volume and a successful test of resistance as a new level of support. Without this happening, the range will continue as it is.
On the other hand, if the price fails to hold above the level of support, it will lead to another fall. If it goes below $0.24, it will continue with the overall bearish trend. Until one of these levels is broken, the token will continue to oscillate around this range.
Also Read: Is ONDO Set to Hit $0.50 After Franklin Templeton ETF Announcement?
Ondo Perps Launch Expands Trading Capabilities
Meanwhile, price trading still appears range-bound. However, Ondo Finance has proceeded with the launch of a significant product.
On March 27, the firm announced the launch of Ondo Perps, a perpetual futures platform that is now available to early users. The trading of tokenized assets such as equities and commodities like NVDA, TSLA, gold, and oil is now possible.
The platform will also allow for up to 20x leverage, helping to make the most out of the capital. The use of tokenized securities will also be able to be utilized for collateral, thus eliminating the need for double collateralization, which was identified as one of the main challenges for the current platforms.
The new system will also allow for the management of hedging strategies in one system, thus eliminating the need for different platforms.
Phil Wirtjes, who is the Head of Strategy for Ondo Perps, identified the fragmented nature of the liquidity and the inefficient use of the capital as the major challenges for the development of this sector.
Source: ONDO
This article contains market analysis and price predictions. These are not guarantees. Crypto markets are volatile. Always DYOR. Not financial advice.
Also Read: Ondo Launches Perpetual Futures Platform: Could it Push ONDO to $1.16?
