Lido DAO token (LDO) is among today’s top gainers, posting a 14% increase over the past 24 hours. This surge may be fueled by significant accumulation from crypto whales and a broader rally in DeFi tokens.
Currently trading at $1.35, the question remains: will LDO continue its upward momentum?
Increased Whale Accumulation, Network Activity Pushes Lido Higher
Based on IntoTheBlock’s data, Lido’s large holders’ netflow has spiked to the highest level since the year began. The netflow is the difference between the number of tokens accumulated by crypto whales and the number of tokens sold.
When the metric rises, it means that whales have accumulated more than they sold. Conversely, when the large holders’ netflow decreases, whales sell more.
For LDO, on-chain data showed that crypto whales purchased 69.26 million tokens today, valued at approximately $90 million. This hike is a sign of increased buying pressure, which was vital to the Lido DAO token’s rise to $1.35. If sustained, the altcoin’s value could continue to climb higher.
Read more: How to Stake ETH With Lido
Additionally, on-chain data from Santiment reveals that active addresses on the Lido network have surged to their highest level since August.
Active addresses measure the number of unique participants interacting with the token, with a rising metric indicating increased transaction activity and investor interest.
This surge in active addresses suggests heightened user engagement, which may be supporting the recent uptrend. If this momentum continues, LDO’s price could see further gains.
LDO Price Prediction: Ascension to Continue
According to the daily chart, LDO has been trading in a descending triangle since the altcoin reached $3.34 in March. A descending channel is a technical pattern formed by drawing parallel trendlines connecting an asset’s lower highs and lower lows, illustrating a sustained downward trend.
Typically, when the price breaks below the horizontal support line, the downtrend might intensify. But in this case, LDO’s price has broken above the lower highs, suggesting that the token’s value might continue to surge.
If this trend continues, LDO’s price might climb by 46%, potentially reaching $1.96 within a few days. In a highly bullish market condition, the price could rise to $2.62.
Read more: Top 11 DeFi Protocols To Keep an Eye on in 2024
However, if Lido later drops back into the triangle, this might not happen. Instead, the token might drop to $0.88.
Disclaimer
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