ONDO Faces 30% Correction Risk If It Loses $1.46 Support – Top Analyst
Ondo Finance has faced significant challenges in recent weeks, with its price down more than 30% from its all-time high of $2.14. Despite the recent economic downturn, many analysts remain optimistic about ONDO’s recovery potential, citing its strong performance earlier in the cycle as evidence of its resilience. As one of the best-performing altcoins, ONDO has been attracting investor attention, sparking speculation about its next move.
Related reading
However, caution is warranted. Well-known analyst Ali Martinez recently shared technical analysis warning that ONDO may face the risk of further corrections. Martinez highlighted the possibility of a head and shoulders pattern forming on the price chart, a bearish signal typically associated with a trend reversal. If this pattern emerges, it could lead to increased selling pressure and a deeper pullback.
The next few days will be crucial for Ondo Finance When it passes this critical moment. Investors will be watching closely to see if the coin is able to overcome the bearish signals and reignite bullish momentum, or if the worrying pattern confirms, leading to further losses. Currently, ONDO’s future hangs in the balance, with market sentiment and technical indicators providing conflicting signals about its short-term trajectory.
ONDO testing key requirements
Ondo Finance is facing a major correction after a strong rally early in the cycle and is now testing key demand levels at key price points. The coin’s price stalled at its previous all-time high around $1.50, which is now a key support level. If it holds above this level, bullish momentum could return, possibly setting the stage for a new uptrend.
However, top analyst Ali Martinez Raising concerns about technical analysis This suggests that ONDO may be forming a bearish head and shoulders pattern. This pattern, if confirmed, often signals a trend reversal and can lead to increased selling pressure.
Martinez warned that a decisive close below $1.48 could trigger a sharp 30% retracement, pushing ONDO’s price down to around $1.05. The move would be a major setback for the token and its investors.
Related reading
For this bearish scenario to invalidate, ONDO would have to reclaim the $1.86 level as support, a move that would signal strength and restore confidence in the asset’s bullish potential. Until then, the market remains at a critical juncture, with traders keeping a close eye on price action for clues as to where ONDO will go next. The coming days will determine whether ONDO can recover or face further downside risks.
Technical Analysis: Expected Results
Ondo Finance (ONDO) is currently trading at $1.49 after successfully testing the key $1.46 support level highlighted by top analyst Ali Martinez. This level has proven to be an important line of defense for ONDO, reflecting strong buying interest at this price. The token currently looks stable, but market participants remain cautious as broader market conditions could still impact ONDO’s trajectory.
The recent bounce to $1.46 is encouraging and suggests that ONDO may be laying the groundwork for a potential recovery. However, a market-wide pullback could put additional pressure on ONDO, potentially causing its price to drop and retest key demand levels. Investors are keeping a close eye on key technical levels for confirmation of a bullish rebound.
Related reading
In order for ONDO to regain upward momentum, it will be crucial to regain the $1.70 level in the coming days. A decisive move above this barrier would signal renewed strength, paving the way for a bullish recovery and possible retest of previous highs. Until then, ONDO remains in a delicate position, with traders monitoring broader market sentiment and the asset’s ability to maintain current support levels. The next steps will be critical in determining whether ONDO can resume its uptrend or face continued consolidation.
Featured image from Dall-E, chart from TradingView
