ONDO: Whale locks in $2.9M profit – Will it break out or drop below…

• Whale activity suggested potential price appreciation for ONDO, but market consolidation persists.
• Strong holder support and strategic partnership with WLFI pointed to future growth potential.

A significant whale recently deposited 5.7 million $ONDO tokens into Coinbase, locking in a $2.9M profit.

Initially, this whale withdrew the tokens for $5.12 million over the past year, but their value has surged to $8.02 million. 

This dramatic price movement raises questions: Is this whale’s action indicative of a broader trend for Ondo [ONDO], or is it just a short-term fluctuation before another downturn?

ONDO chart analysis: Is the breakout imminent?

ONDO has been consolidating within a symmetrical triangle, often signaling a potential breakout or breakdown. The price is bouncing between key support at $1.23 and resistance at $1.58.

At press time, the token was trading at $1.34, down 0.16% in the last 24 hours.

The RSI stood at 48.89, at the time of writing, indicating neutral momentum with neither overbought nor oversold conditions. A breakout above the resistance could propel the token to new highs.

Failure to break may lead to a further decline. Investors should watch these crucial levels in the coming days.

Source: TradingView

What does the in/out of the money data reveal…

The latest on-chain data shows 85.63% of $ONDO holders are in the money, suggesting positive returns for most. Additionally, 2.87% of holders are out of the money, while 11.50% remain in the money.

These statistics point to strong support around the current price of $1.34, with most investors in profitable positions. If $ONDO maintains its current levels, we could see continued buying interest.

However, a shift in sentiment could pressure the token, especially if its price slips below critical support.

Source: IntoTheBlock

Liquidation heatmap shows critical levels 

The 24-hour liquidation heatmap shows key levels of liquidation around $1.34 and $1.35. These levels have been consistently targeted by liquidations, which suggests strong resistance or support depending on the direction of price movement.

 If ONDO breaks below these levels, we could see a cascade of liquidations, triggering further downside.

Source: Coinglass

Finance’s strategic partnership with WLFI

Ondo Finance has recently announced a strategic partnership with World Liberty Financial (WLFI) to advance the tokenization of real-world assets. 

This collaboration will enable the integration of Ondo’s tokenized assets into the WLFI network, allowing for the adoption of treasury reserve assets and traditional financial assets on-chain. Nathan Allman, CEO of Ondo Finance, remarked: 

“We’re thrilled to work with World Liberty Financial to bring the benefits of tokenized real-world assets to their platform and users.”

This partnership opens new avenues for ONDO holders, potentially boosting the token’s value and adoption.

Will ONDO break out or fall back?

Considering the whale activity, key technical levels, and promising partnership, ONDO appears poised for growth. 

However, it will depend on whether it can break above its resistance levels and sustain momentum. However, based on the current indicators, the potential for a breakout remains high.