Lido DAO’s native token, LDO, has captured the attention of crypto enthusiasts following a strong rally in the past 24 hours. However, the token is now testing a key resistance level at $2.10, a level historically associated with selling pressure and price declines.
$7.18 Million LDO Inflows into Exchanges
As LDO’s price surged, on-chain data from CoinGlass revealed an inflow of $7.18 million worth of LDO tokens into exchanges, hinting that long-term holders or whales may be preparing to sell.
The inflows into the exchanges suggest that long-term holders or whales have moved their holdings to the exchanges for a potential sell-off. However, this could lead to selling pressure and further price decline.
Looking at such a dump in the past 24 hours indicates that history may repeat itself.
Lido DAO (LDO) Technical Analysis and Key Levels
According to expert technical analysis, LDO appears bullish but is currently at a crucial resistance level of $2.10. LDO’s daily chart shows that its price has reached this level more than twice, and each time, it has witnessed a price drop of over 28%, from $2.08 to $1.47.
However, this time, due to past history, investors have begun dumping their holdings and speculating that LDO could once again drop by 28% to reach the $1.47 level.
Conversely, if the current sentiment for LDO continues and the price breaches the resistance level, closing a daily candle above $2.10, there is a strong possibility it could soar by 65% to reach the $3.50 level. However, in the cryptocurrency market, such a rally is easily achievable.
LDO is currently trading near $2 and has experienced a price surge of over 15.50% in the past 24 hours. However, during the same period, its trading volume has jumped by 78%, indicating heightened participation from traders and investors compared to previous days.
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