- ONDO has seen a 7% price increase, with analysts predicting a major rally by the fourth quarter of 2024.
- Whale trades and Open Interest are showing mixed signals, indicating cautious optimism.
Ondo [ONDO]the original token of a decentralized finance protocol (DeFi), designed to offer fixed-rate loans backed by yield-generating crypto assets, is showing signs of recovery after a sharp price drop.
On August 5, ONDO hit a low of $0.52, but over the past week the token has risen 7%, with a further 4.3% increase in the last 24 hours.
This recovery comes in the middle growing interest from both traders and analysts, indicating potential upside momentum for ONDO in the near future.
ONDO’s falling wedge signals a further rally
Renowned crypto analyst Captain Faibik recently did just that offered there is a bullish outlook for ONDO, suggesting the asset could be gearing up for a major rally by the end of the fourth quarter of 2024.
In a recent post on He stated,
“Continue to collect ONDO and persevere with patience, you will thank me later. New all-time high in Q4 2024.”
This prediction has fueled further interest in ONDO as traders speculate on its potential to break previous price records.
Source: Captain Faibik/X
The coming weeks could be crucial in determining whether ONDO will experience an outbreak.
What do the fundamentals suggest?
However, technical analysis alone does not provide the full picture. It is worth also examining ONDO’s underlying fundamentals to determine whether actual market conditions support the bullish outlook.
An important data set to keep an eye on involves whale activity: transactions involving $100,000 or more. According to facts from IntoTheBlock, ONDO’s whale transactions have decreased drastically in recent weeks.
Source: IntoTheBlock
After peaking at over 60 transactions at the end of August, this number has dropped to just 12 transactions at the time of writing.
This indicated a decline in high-volume transactions, which could indicate lower demand from large investors and dampen expectations of a near-term rally.
In addition to whale activity, Open Interest also assessed market sentiment. Open Interest refers to the total number of open contracts in the futures and options markets, which can help gauge the strength of a trend.
According to facts from Coinglass, ONDO’s Open Interest is up 4.69%, with a press time valuation of $83.12 million.
This increase suggested growing interest in the token, possibly indicating that traders were positioning themselves for a possible price increase.
Source: Coinglass
However, there is a counterbalance to this optimistic view. While Open Interest increased, volume fell 17.91%, to $86.67 million at the time of writing.
Read Ondo’s [ONDO] Price forecast 2024–2025
This indicated that while more contracts were being opened, the volume of those contracts had decreased, which may indicate uncertainty or a lack of conviction among traders.
This difference between Open Interest and volume could indicate mixed signals in the market, leaving ONDO’s future price action uncertain.
