Three reasons why ONDO is ready for an upswing

DefiLlama data shows that Ondo TVL reached a new ATH of $613.75 million.
Ondo’s Supply Distribution metric shows whale accumulation.
On-chain data shows that ONDO’s daily trading volume is rising, and the supply of exchanges is decreasing.
Investors should be cautious about decreasing daily active addresses.

Ondo (ONDO) continues to trade higher at around $0.78 on Thursday, having rallied 14% so far this week following a 12% increase last week. This bullish momentum appears poised to continue as on-chain data shows a new all-time high in Total Value Locked (TVL), coupled with whale accumulation, rising trading volume, and decreasing supply on exchanges.

ONDO bulls remain strong as on-chain metrics indicate continued momentum

Crypto aggregator platform DefiLlama data shows a bullish outlook for Ondo. The data shows that Ondo’s TVL increased from $537.13 million at the end of August to $618.32 million on September 22, making a new all-time high (ATH).

This rise in TVL indicates growing activity and interest within the Ondo ecosystem. It suggests that more users deposit or utilize assets within ONDO-based protocols, adding credence to the bullish outlook.

ONDO TVL chart

Moreover, Santiment’s Supply Distribution metric shows that whales are accumulating ONDO tokens. This metric shows that wallet holding has increased from Monday to Thursday. During this period, holders holding 100,000 to 1 million, 1 million to 10 million, and 10 million to 100 million tokens have increased from 79.17 million to 80.24 million, 395.32 million to 403.05 million and 479.60 million to 908.05 million, respectively. This development shows that investors have confidence in ONDO tokens and are accumulating.

ONDO Supply Distribution metric chart

Additionally, Ondo’s daily trading volume and supply on exchanges align with the bullish outlook. Ondo’s daily trading volume has risen from 202.18 million to 496.96 million from September 15 to Thursday, the highest since August 5. This rise indicates a surge in traders’ interest and liquidity in the Ondo chain.

The exchange’s supply fell from 345 million to 330 million during the same period. This fall indicates increasing confidence among investors as holders remove ONDO tokens from exchanges and store them in cold wallets.

ONDO Supply on Exchanges and Volume chart

Despite a new all-time high in TVL, whales accumulating, rising trading volume and decreasing supply in exchanges, Ondo’s daily active addresses have remained low. Declining addresses point to lower demand for the network. This suggests that investors should exercise caution when anticipating a sudden price increase.

ONDO Daily Active Addresses chart

Share: Cryptos feed

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.