Ondo Finance tokens soared to record highs over the weekend as demand among cryptocurrencies soared. The token rose to a high of $1.0415, more than 430% above this year's low, giving it a market cap of over $1.3 billion.
Ethereum Whale Scooping Ondo
The main catalyst for the recent rally in the Ondo Finance token is Bitcoin’s rally to over $65,000 over the past few days. Most of the time, when Bitcoin is in a strong uptrend, altcoins like Ondo, Solana, and Ethereum are doing well.
Ondo also soared due to renewed demand from investors. A good example of this happened on Friday, when an Ethereum whale withdrew over $5.7 million worth of tokens from Gemini, a major US exchange.
According to LookOnchain, the whale has since purchased approximately $6 million worth of ONDO tokens. That could be a sign that whales have more information than most traders and investors. It's also possible that Whale is one of its insiders or venture capital investors like Pantera or Founders Fund.
CoinGecko data confirms that Ondo Finance’s trading volume has increased recently. The token's trading volume exceeded $266 million in the past 24 hours, and on Saturday it exceeded $253 million. This is a significant amount since the average was less than $150 million.
The latest whale investment comes as demand for Ondo Finance continues to grow. Data by DeFi Llama The network's assets now stand at over $433 million, an all-time high. Most of these assets are contained in US Dollar Yield (USDY) tokens with an APY of 5.20%. The remainder is U.S. Treasuries (OUSG) with $184 million and an APY of 4.96%.
Ondo Finance has become one of the leading players in the tokenization industry, allowing investors to generate yield by investing in liquid funds from PIMCO and Blackrock. Analysts believe that tokenization will become a multi-billion industry in the coming years.
Ondo Finance price prediction
Turning to the daily chart, we see that the token bottomed at $0.6175 on April 14th. It has since rebounded, rising to a key resistance level of $1.0415, more than 50% from the April low.
Ondo is above the 50-day and 25-day exponential moving averages, implying that the bulls are in control. However, a triple top pattern has also formed with a neckline of $0.6175. In most cases, this is one of the most popular bearish signs in the market.
Therefore, the price of Ondo token is likely to fluctuate wildly in the coming days. Further upside will be confirmed if the token sustains above the triple top pattern at $1.0415.
