Ondo Confirms Breakout of Bullish Pennant
The price of ONDO rose 12% to $1.06 before settling around $1.01. This was a breakout from patterns of consolidation. This movement shows that the market is strong. Traders now expect the momentum to keep going, thanks to confirmation of a bullish pennant that formed in July and stayed strong in August.
Pennant formations are continuation patterns that often come before big upward moves after short periods of consolidation. The breakout of ONDO shows that people in the market are becoming more confident. Buyers are back in charge because technical signals are lining up with better fundamentals, which is pushing the token higher into short-term resistance zones.
Total Value Locked Hits New Records
Ondo Finance’s total value locked hit a record $1.5 billion, showing that demand is growing for its tokenized finance platforms. The milestone gave people more faith. A lot of this growth is thanks to Ondo Global Markets, which focuses on tokenizing U.S. stocks and ETFs so that people can trade them on the blockchain.
Within a week of opening, Ondo Global Markets had $105 million in deposits, making it the largest platform for tokenized securities. A higher TVL lowers the pressure to sell, which helps prices stay stable. Investors see this buildup as a long-term bullish sign that fits well with ONDO’s technical recovery pattern.
Whale Accumulation Gives People New Hope
Santiment data showed that big holders with balances between 10,000 and 10 million tokens have been adding to their stakes in the past few days. It’s interesting that whales are gathering. In the past, when whales bought more stocks, retail traders often followed suit, which made prices go up even more as market confidence grew.
The growing number of whale addresses shows renewed conviction, which will keep bullish pressure on the market in the coming weeks. Buying tokens like an institution makes them less available, which makes them more valuable. This trend of accumulation shows that both strategic investors and the market are getting ready for possible rallies that go beyond short-term resistance levels.
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Technical Indicators Back Up Breakout
ONDO is trading above its 20-day exponential moving average, which supports bullish predictions for the token. This positioning shows that buyers are still in charge. There was also a positive crossover on the Moving Average Convergence Divergence indicator, which made the technical confirmation stronger.
All of these signs point to the fact that the market is likely to go up. Traders confidently look at higher resistance levels because technical momentum is coming together with fundamental growth. ONDO looks like it can keep its recent gains as long as the overall crypto market stays good for continuation patterns.
ONDO Awaits a 35% Rally After Breaking $1.17 Resistance
ONDO is facing immediate resistance at $1.17, which was tested in July and is in line with the upper trendline of the pennant. People who trade keep a close eye on this. If ONDO can break through this barrier, the next move could take it to $1.36, which would be a 35% increase from where it is now.
If this happens, it would prove that the bullish pennant is real, rewarding those who got in early and bringing in more buyers. If resistance gives way, people in the market expect stronger rallies. This momentum could help ONDO make up for all of its losses in August, turning bearish sentiment into bullish excitement.
Possible Risks and Levels of Downside
Even though people are optimistic about ONDO, it could still be in trouble if it falls below the 20-day exponential moving average near $0.94 support. Traders know what risks are. If the price drops below this level, the pennant formation will no longer be valid, which will lead to more selling pressure and a weaker bullish setup.
Managing risk is still very important. Even though the technicals are pointing up, ONDO’s path could be affected by the unstable conditions in the broader markets. Watching how support and resistance levels change helps you get in the right place. Still, the current signals are mostly bullish, which means cautious optimism instead of wild speculation.
The Future of Ondo Finance’s Growth
Despite problems in August, ONDO’s technical and fundamental momentum has made it a strong performer. There are good signs for breakouts, higher TVL, and whale accumulation. These things make it more likely that the recovery will last and that new highs will be reached in the next few months.
Ondo Finance is becoming a bigger player in decentralized finance as its innovative tokenized securities platform gains popularity. Strong fundamentals and technical validation together make people hopeful. As ONDO tries to fully regain lost value, investors are keeping a close eye on upcoming resistance tests.
