ONDO, the native cryptocurrency of Ondo Finance, has surged 60% over the past month, climbing from its July opening price of $0.6942 to reach a peak of $1.169 on July 21. This impressive rally was further accelerated by 21Shares’ recent ETF filing targeting the ONDO token.
At the time of writing, however, ONDO has experienced some profit-taking activity, declining by 10.44% to trade at $1.025 during the session. This correction has resulted in a decrease in the token’s market capitalization from $3.7 billion to $3.2 billion.
Despite the temporary pullback, the past 24 hours have seen over $448 million worth of ONDO tokens change hands, indicating sustained market interest.
This robust trading activity has led many market participants to believe that 21Shares’ recent filing with U.S. regulators for a spot ETF tracking Ondo Finance’s native token could drive substantial institutional demand for ONDO.
Ondo Finance operates as a layer-1 proof-of-stake blockchain specifically designed for institutional finance and the tokenization of real-world assets (RWAs).
The platform has established a strong foundation in the institutional space through strategic collaborations.
In February, the project partnered with major institutional finance players, including Franklin Templeton, WisdomTree, Google Cloud, McKinsey, BlackRock, PayPal, and Morgan Stanley, to launch the Ondo Finance Chain, a dedicated layer-1 protocol focused on real-world asset tokenization.
Last week marked another milestone when BNB Chain, Binance’s blockchain network, announced a partnership with Ondo Finance to integrate tokenized real-world assets into its ecosystem.
This collaboration seeks to bridge Wall Street with BNB Chain, bringing over 100 U.S. stocks, exchange-traded funds (ETFs), and investment funds to Ondo Finance while maintaining traditional finance liquidity.
Several months earlier, Ondo Finance secured another major partnership by joining Mastercard’s Multi-Token Network as a provider of tokenized real-world assets, further solidifying its position in the institutional landscape.
Cryptocurrency traders are viewing the recent price correction as a buying opportunity, believing ONDO has the potential for upside movement similar to XRP, which has also gained favor among traditional finance institutions.
Chart analyst ‘Crypto Targets’ has identified that ONDO is currently in a double accumulation phase, with bullish RSI divergence and breakout structure alignment.
The analysis suggests that ONDO has successfully flipped the macro neckline, potentially setting the stage for expansion beyond $2.
Financial educator Kren has provided an even more bullish long-term perspective, noting that the U.S. Treasury market is valued at approximately $27 trillion. If ONDO were to capture just 0.1% of this market, the token could theoretically trade at $6.75 per unit.
The daily ONDO/USDT chart reveals a clear bullish trend that recently encountered strong resistance at the $1.1732 level, representing the July highs.
Following a substantial rally from the July opening near $0.7697, the price successfully broke through key moving averages (EMAs 20, 50, 100, and 200), indicating positive momentum.
Source: TradingViewToday’s trading session, however, shows a sharp 9% pullback, with the token closing at $1.0397, indicating temporary exhaustion in buying pressure.
Despite this correction, the overall trend structure remains intact. The Relative Strength Index (RSI) currently sits at 62.29, positioned just below the overbought threshold, suggesting room for a potential rebound without overheating concerns.
If the current correction maintains support above the moving average cluster, particularly the EMA 20 at $0.9557 and EMA 50 at $0.9379, the technical setup favors the formation of a higher low.
The projected trajectory indicates a possible short-term consolidation below the July highs, followed by a bullish continuation toward the next major resistance level at $1.6117.
Should the price fail to maintain support above the EMAs, it could retreat into the consolidation range between $0.80 and $0.90.
However, the current market structure supports a bullish continuation following this temporary pullback.
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