- More addresses retained ONDO with a loss of $1…23, suggesting that the price may fall again.
- Network activity and open interest are declining, so the price could drop to $1.15.
Having reached an all-time high on June 3, ONDO price has already lost 7.11% of its value in the last 24 hours. At the time of publication, ONDO’s price was $1.22. The price decline may be due to the token holders making a profit.
However, this is not the first time that the price of ONDO has fallen and then recovered. Therefore, this analysis will focus on short-term ONDO price forecasting.
To start, AMBCrypto analyzed the In-Money and Out-of-Money at Price (OIMAP) indicator. The Blockchain analysis platform provides information about the indicator.
There’s no way out of the doldrums
IOMAP shows the number of addresses that have a token in losses and those that have profits. It also gives an idea of the average price at which these addresses purchased the cryptocurrency.
If a large number of addresses have profits and they are larger than those that have losses, the price may act as support. Therefore, it will be difficult to reduce the price. However, if a larger number suffer losses, the average purchase price may act as resistance.
At the time of publication, we note that 76.50 million ONDO tokens were purchased across 2,000 addresses at a weighted purchase price of $1.20. On the other hand, 2,660 addresses purchased 36.16 million tokens at an average price of $1.23.
Source: IntoTheBlock
Despite buying more tokens at a lower price, the upper $1.23 area could push back the ONDO price. This is due to the large number of addresses at that time.
If this happens, the price could fall to $1.15 in the near future, according to ONDO’s forecast. Another indicator that contributes to a potential price drop is active addresses.
Be careful! $1.15 wants to appear
Active addresses show the number of users making transactions on the blockchain. An increase in the indicator means an increase in user activity. On the other hand, a decrease means that users are refraining from active transactions.
AMBCrypto noted that the price of ONDO increases whenever activity on the network is restored. At the time of publication, 24-hour active addresses have dropped to 1,370. Therefore, given the correlation between price and indicator, the token may suffer another decline.
Source: Santiment
In addition to network activity, AMBCrypto checked for weighted sentiment. Weighted Sentiment uses social volume to measure comments about an online project. A positive reading means that sentiment is bullish.
In contrast, a negative reading suggests that there are more negative comments than positive ones. At the time of writing, we noted that sentiment was negative. If this continues in the future, ONDO’s price outlook may worsen.
In terms of open interest (OI), the situation was no better. An increase in OI would mean an increase in speculative activity. If this were the case, ONDO could explore the possibility of reinstatement.
Source: Santiment
Whether this is real or not, here is the market capitalization of ONDO in terms of ETH.
However, at the time of publication, the OI amount was reduced to $121.17 million. A further decrease in the indicator means a smaller influx of liquidity for the token.
Therefore, the short-term price forecast for ONDO could drop to $1.15 as mentioned above.
This is an automatic translation of our English version.