Ondo (ONDO) is trading around $0.322 on Monday, January 26, after a drop of about 9% for the week, according to data from TradingView. Looking at the weekly chart, it is easy to see that there is a strong downtrend in play, with the token being unable to return to previous levels of support and instead falling from areas of resistance.
Market structure remains weak as the price remains below significant levels of resistance. The recent weekly charts indicate minor attempts at recovery, which are immediately halted, indicating that the price is still dominated by sellers.
This is usually a common indication of a situation where an asset is trading below significant dynamic levels of resistance, making it less likely to reverse. Currently, the token is in a distribution-to-decline phase.
Indicators Signal Continued Downside Risk
The trend indicators are bearish. the token is significantly below its key exponential moving averages, with the 20-week EMA at approximately $0.56, the 50-week EMA at about $0.73, and the 100-week EMA at about $0.84. When the price remains below these levels, they form a resistance level, preventing the price from moving upwards.
Momentum indicators are also weak. Relative Strength Index values are approximately 29.6, making ONDO an oversold territory. Oversold conditions can sometimes lead to temporary reversals, but they can also continue in a strong downtrend.
The RSI is also below its average of approximately 33.9, indicating that the momentum is not yet in favor of the token. This is also supported by the MACD, which is below the signal line with a negative histogram.
Strong RWA Growth Fails to Lift ONDO Price
The technical weakness contrasts sharply with Ondo Finance’s expanding fundamentals. On January 23, the company announced that it had more than $2.5 billion in total value locked (TVL) in its tokenized real-world asset products, which was later revealed on RWA.xyz and DefiLlama.
Ondo Finance is now the leader in the tokenized U.S. Treasury market with around $2 billion in TVL, primarily due to its USDY product, which is over $1 billion and operates on nine blockchains.
Ondo’s institutional product, OUSG, has surpassed $770 million in TVL and provides exposure to tokenized funds for large managers such as BlackRock, Fidelity, Franklin Templeton, and WisdomTree.
On the other hand, the network Global Markets has surpassed $500 million in tokenized stocks since its launch in September 2025 and provides exposure to over 200 stocks on Solana, Ethereum, and BNB Chain.
Also Read: Ondo Finance Surpasses $2.5B TVL as Tokenized Assets Gain Momentum
