The stock of $ONDO is under pressure.
Due to pressure after a sharp 33% drop from May's highs, reflecting increasing uncertainty and bearish momentum in the market. After performing outstandingly, the token lost its momentum as sentiment shifted and price action turned decisively negative. While some traders still anticipate potential rebounds, many analysts are now warning of a collapse, cautioning that the current structure may give way to deeper losses if key support levels do not hold.
The overall mood around $ONDO remains divided. Some investors see the decline as a healthy correction in a broader uptrend, while others view it as the beginning of a wider correction. Prominent analyst Ali Martinez added to the cautious outlook, pointing out that ONDO is breaking out of an ascending channel towards a decline - often a bearish signal. This pattern indicates weakening momentum and that the token may soon test lower demand areas.
As #ONDO approaches key technical levels and trading volumes decline, the coming days will be critical. If the breakdown continues, the price could revert to previous consolidation areas. Currently, bearish pressure dominates, and bullish traders need to convincingly defend support to prevent further declines.
Bullish traders are struggling to maintain their structure amidst increasing risks.
While the broader altcoin market prepares for a decisive move, $ONDO remains stuck in a bearish structure, unable to demonstrate clear demand. Bullish traders are struggling to regain momentum or push the price above the critical supply zones necessary to sustain the long-term uptrend. With sellers in control and key support levels under pressure, ONDO's technical structure looks fragile.
Despite recent weakness, some market participants remain cautiously optimistic about ONDO's long-term potential. Macro economic narratives surrounding asset tokenization in the real world still support the underlying interest, but short-term price action remains challenging. The inability to hold above previous consolidation ranges suggests that buyers have yet to intervene convincingly enough to flip the trend.
Ali Martinez raised the alarm by highlighting a concerning technical development: ONDO's exit from an upward channel - this time towards a decline. Historically, this pattern indicates a shift in market structure and paves the way for sharp declines. Martinez's forecasts suggest a potential drop in price towards the $0.29 level, representing a significant decrease from current prices.
Currently, ONDO is trading in a fragile position. If the optimists fail to reclaim higher levels and regain momentum, the altcoin risks accelerating its decline. However, if sentiment changes and the market returns to strength, ONDO could recover in the coming months.
#ONDOUSDT Moving averages break with increasing bearish momentum.
ONDO is trading at $0.747 after failing to hold above key moving averages, with both the 50-day ( $0.93) and 200-day ($1.00) simple moving averages now acting as overhead resistance. The current price structure on the three-day chart shows a steady downward trend, with lower highs and lower lows forming since the March peak. The price has now broken below the previous consolidation area, indicating increasing bearish momentum.
Psychological level rejection increased to $1.00 earlier in this quarter amidst downward pressure, and breaking below the $0.80 level confirms that buyers are losing control over the short-term price structure. If ONDO continues to trade below both moving averages, it may struggle to find strong demand in the near term.
The major historical resistance remains at $1.51, but with ONDO currently down 50% from this level and forming a bearish structure, the risk of a downturn remains dominant. A breakdown below $0.70 could accelerate the decline, targeting the $0.60-$0.50 range where previous demand clusters formed in late 2023.
For buyers to regain momentum, ONDO needs to reclaim the 50-day simple moving average and close above $0.85. Until then, the chart leans in favor of buyers, indicating caution in buying trades.