The price of ONDO has broken above a months-long descending triangle pattern, indicating a significant trend reversal following a period of consolidation on the chart.
Closing the daily candle above $0.87 has confirmed this breakout and pushed the token price above the $0.94 region, transforming old resistance into solid support. This breakout has opened the path towards subsequent targets at $1.116. If the upward momentum is maintained, ONDO could regain the $1.4 price range in the near future.
The upward momentum of ONDO is being reinforced by strong consensus from the market, with whale participation, optimistic sentiment from investors, and active trading behavior. These are the key factors that could determine the sustainability of the current breakout in the coming weeks.
Is positive sentiment enough to maintain ONDO's upward momentum beyond the $1 mark?
The weighted sentiment index of ONDO has surged to 2.24, marking one of the highest levels in many months. Such a strong increase reflects growing optimism and expectations from investors in the market.
History shows that psychological bursts like the current one are often early signals for strong bullish phases, especially when coinciding with technical signals such as breakouts. However, excessive optimism also carries risks, as profit-taking often appears after periods of excitement, leading to significant market volatility.
However, data at the time of writing shows that investors still believe in the bullish potential of ONDO. Therefore, as long as positive sentiment aligns with fundamental factors, the breakout momentum of ONDO is likely to be reinforced by growing market confidence.
Are whales silently accumulating ONDO during this breakout?
Data on the average size of spot orders shows a spike in trading volume, indicating the presence of large investors.
According to Santiment, the recent price surge of ONDO has attracted large buy orders from whales – a strong bullish signal. Such activities often play a stabilizing role in the market, helping to absorb volatility caused by retail investors and supporting the price increase.
While retail investor interest often fluctuates with short-term prices, continuous accumulation by whales reflects long-term confidence in the asset.
If large investors continue to increase their positions, ONDO's breakout will have a solid support foundation to continue pushing higher.
Is network activity enough to justify ONDO's price increase?
At the time of writing, the disparity index between price and daily active address (DAA) of ONDO is at +152%, indicating that daily active addresses are growing positively compared to price fluctuations.
As long as on-chain activity continues to increase in parallel with the price, the market will tend to view this increase as sustainable. Additionally, strong DAA performance also contributes to reinforcing the practical applicability and real engagement level of ONDO.
In other words, the current disparity suggests that the price increase of ONDO is not entirely speculative. However, if the number of active addresses decreases while the price continues to rise, it could weaken the current optimistic argument and lead to the risk of a price correction.
Will leveraged Long positions drive ONDO to rise further or have a counter effect?
According to data from Binance, the Long/Short ratio is at 3.23, with over 76% of accounts holding Long positions.
This clear bias reflects strong confidence from retail investors in ONDO's ability to continue rising. However, too many Long orders could also become a double-edged sword – if the price unexpectedly drops, a large number of positions being liquidated could lead to a sharp reversal.
However, at this time, the buyers seem to be in control. As long as buying pressure is maintained and support levels are not broken, leveraged Long positions could act as a springboard rather than a risk.
Can ONDO maintain its breakout momentum and aim for the $1.4 mark?
The combination of whale activity, high positive sentiment, strong network fundamentals, and confidence from retail investors indicates that ONDO's breakout is receiving real support.
However, the sustainability of this increase will depend on key factors such as: ongoing buying pressure, stable on-chain growth, and balanced market sentiment.
If the aforementioned factors continue to align, ONDO could very well target the resistance zones of $1.116 and $1.4 in the coming days. Given the current market context, it is likely that ONDO will maintain its upward momentum towards the $1.4 mark.
