LDO’s 4-hour chart revealed the possibility of a sustained price pump.
Lido’s earnings and TVL rose, while most metrics remained in favor of the bulls.
Lido Dao [LDO] has been in trouble for the past week as the price fell more than 7%. A Lookonchain tweet pointed to yet another LDO sell-off, which looked worrying for the token as it could push the price of LDO further.
Dragonfly Capital transferred 461,000 $LDO($1.05 million) to #Binance 1 hour ago.
And currently has 8.62 million $LDO($20 million).
If you want to short $LDOnote Dragonfly Capital’s address, selling will make the price of it $LDO fall.https://t.co/1pBg0I3Ict pic.twitter.com/fPzKnIbpwL
— Lookonchain (@lookonchain) April 12, 2023
According to the tweet, Dragonfly Capital has transferred LDO worth $1.5 million, which could increase selling pressure. In this case, however, the situation turned out differently. Is this due to the continued bullish market conditions? Or did the statistics and indicators support the rise?
Read Lido DAOs [LDO] Price prediction 2023-24
LDO price rising
Interestingly, the price of LDO is up more than 7% in the last 24 hours. At the time of writing, it was trade at $2.38 with a market cap of over $2 billion. A look at LDO’s four-hour chart suggested that the uptrend could continue further. For example, LDO’s Chaikin Money Flow (CMF) registered a sharp increase and moved towards neutral.
The Money Flow Index (MFI) also followed the same trend and moved up, which looked bullish. LDO’s Moving Average Convergence Divergence (MACD) also showed a bullish crossover. The Bollinger Bands showed that LDO was entering a zone of high volatility, further increasing the likelihood of a sustained northward price move.
Source: TradingView
Lido’s network stats look promising
Token terminals facts revealed that quite a few factors were working in Lido DAO’s favor, which could lead to further growth in the coming weeks. Lido DAO revenues have been rising for several weeks, indicating increased usage. Not only that, but the value of the network increased significantly as evidenced by the increase in TVL.
It was also interesting to note that after Ethereum [ETH] completed the Shanghai update, Lido retreated a total of 63,695 ETH, accounting for 57.2% of Lido’s holdings.
Source: Token Terminal
A few stats were against LDO
While the market indicators and network statistics looked quite optimistic for Lido DAO as a whole, LDO’s on-chain performance was not up to par.
Source: Sentiment
Realistic or not, here it is LDO market cap in BTC‘s conditions
For example, I DOThe supply at fairs increased. This happened while off-exchange supply was marginally down, which was bearish. Nevertheless, LDO’s market value to realized value (MVRV) ratio recovered slightly, thanks to the latest price gains. Network growth was also higher, suggesting more new addresses were used to transfer the token.
Source: Sentiment
This post Despite selling out, here’s why Lido DAO’s [LDO] price action turned bullish
was published first on https://ambcrypto.com/despite-sell-offs-here-is-why-lido-dao-ldos-price-action-turned-bullish/
