Lido (LDO), a liquidity staking protocol for the Ethereum (ETH) and Polygon (MATIC) blockchains, has Price hike In the past 24 hours, following the US Securities and Exchange Commission's (SEC) long-awaited approval of the Ethereum ETF spot application on Thursday.
The protocol's native token, LDO, is looking to recover the $2.30 levels and break out of a one-month long downtrend structure. Market Adjustment During April.
Will the LSD sector surge with Ethereum ETF approval?
As report According to our sister site Bitcoinist, the SEC's approval of the Ethereum ETF is detailed in official documents, highlighting that the proposal meets the provisions of the Securities Exchange Act and related regulations governing the country's securities exchanges.
The committee found that the proposals, from prominent firms such as BlackRock, Grayscale, Bitwise, VanEck, Ark Invest/21Shares, Invesco Galaxy, Fidelity and Franklin Templeton, met requirements to prevent fraud and manipulation, protect investors and safeguard the public interest.
Crypto analyst Daan Crypto Trades commented on the Ethereum ETF approval on X (formerly Twitter): It pointed out With the approval of new index funds, two sectors emerged as clear winners.
One of these sectors is Liquidity Staking Derivatives In the (LSD) coin space, Lido is leading the way. Lido offers staking support for the Ethereum blockchain, allowing participants to take part in on-chain activities such as lending and farming, without having to lock up tokens or maintain any infrastructure.
Lido's noteworthy main levels
LDO hit a high of $2.49 early Friday morning before falling back to its current trading price of $2.35, as the spot-on-chain token has attracted interest from large investors. data Six new wallets/whales have been discovered to have withdrawn 4.3 million LDOs ($9.59 million) from cryptocurrency exchange Binance in the past 24 hours.
This indicates growing interest in holding the token, and sentiment suggests the price could rise in tandem with Ethereum once a newly approved index fund for the second-largest cryptocurrency enters the market in the coming months.
Additionally, CoinGecko data Lido recorded $350 million in trading volume in the past 24 hours, marking a 78.60% increase compared to Thursday. However, the token remains 68% below its all-time high (ATH) of $7.30 achieved during the 2021 bull run.
Going forward, bullish investors should keep a close eye on the next resistance level at $2.55 on the daily chart of LDO/USD. A breakout of this level could be the key to a bullish surge in prices. Downtrend Structure This trend has continued over the past month and could lead to a retest of the $2.70 and $2.90 levels.
Conversely, the $2.21 zone is important. Support LevelsThis is because it acted as a strong barrier for Lido before its breakout over the past week and a half.
Featured image from Shutterstock, chart from TradingView.com
