Why Ondo Finance Crypto Could Soar 26% in the Near Future

Ondo Finance (ONDO) has been making waves in the cryptocurrency market with an extraordinary rally that saw its price surge to an all-time high of $2.15 on December 16. This impressive growth, which marks a 327% increase from its low point in August, has garnered significant attention from investors and analysts alike. The rally has been largely driven by the strategic buying spree of World Liberty Finance (WLFI), a platform closely associated with Donald Trump, which has been actively purchasing ONDO tokens.

WLFI’s involvement with Ondo Finance has been a key catalyst for the coin’s impressive price increase. As part of its ongoing acquisition strategy, WLFI recently purchased over $250,000 worth of ONDO tokens. This purchase is part of a larger trend where WLFI has been aggressively expanding its crypto holdings. Among these purchases, WLFI acquired Ethereum (ETH) tokens worth $57 million, USDC worth $6.1 million, and AAVE worth $2.3 million. Additionally, the platform’s portfolio includes several notable cryptocurrencies such as Bitcoin derivatives, Chainlink, Ethena, Grok, and REKT. According to data from Nansen, the total value of WLFI’s crypto holdings has now exceeded $83.7 million, signaling a robust appetite for crypto assets.

Ondo Finance’s growth is not just a result of WLFI’s purchases but is also reflective of the broader expansion in the tokenization sector. Tokenization, which refers to the process of converting real-world assets into digital tokens on the blockchain, is a rapidly growing field, and Ondo Finance has positioned itself as one of the leading players in this space. As of now, the total value locked (TVL) in Ondo’s network has surpassed $615 million. This includes $449 million in assets linked to its US Dollar Yield tokenized product and $173 million in US Treasuries tokens. The increasing demand for Real World Asset (RWA) tokenization has been a key driver for this growth, with experts predicting that the RWA tokenization market will reach $50 billion by 2025. Ondo Finance is poised to play a central role in this evolving industry, further fueling the coin’s bullish outlook.

From a technical analysis perspective, Ondo Finance’s price has shown strong upward momentum over the past few months. The coin recently broke above a crucial resistance level of $1.4840, completing the upper part of a cup-and-handle chart pattern. This pattern is often seen as a bullish signal in technical analysis, as it suggests that the coin is likely to continue its upward trajectory. In addition to the cup-and-handle breakout, ONDO has also surpassed the key pivot and reverse points of the Murrey Math Lines at $2, indicating that the bulls are firmly in control of the market.

Moreover, ONDO is currently trading above all major moving averages, which further supports the bullish outlook for the token. Oscillators such as the Relative Strength Index (RSI) and the Moving Average Convergence Divergence (MACD) are also showing positive momentum, with both indicators pointing upwards. This suggests that the buying pressure remains strong, and there is a high likelihood that the price of ONDO will continue to rise in the near future.

Looking ahead, analysts are setting their sights on the next key resistance level for ONDO, which is at $2.5. This target represents a potential 25% increase from the current price of $2.15 and is derived from the depth of the cup pattern, projected from the breakout point. If the price reaches this target, it will mark a significant milestone for Ondo Finance, further solidifying its position as a top player in the tokenization space. However, traders and investors should be mindful that any drop below the support level at $1.48 would invalidate the current bullish outlook, signaling a potential reversal in the trend.

In conclusion, Ondo Finance’s remarkable rise in price, fueled by both institutional buying from WLFI and the growing interest in RWA tokenization, positions the coin for further gains in the near future. With its strong technical indicators and a rapidly expanding industry, ONDO has the potential to continue its upward trajectory, with analysts predicting a 25% surge to the $2.5 mark. As the tokenization industry continues to gain momentum and Ondo Finance solidifies its place within it, the coin’s price could continue to soar, making it an attractive investment opportunity for those looking to capitalize on this emerging trend.