LDO Token Rebounds: Can It Break Above $2.10?

Lido DAO's LDO token has shown signs of a potential rebound, with the price interacting with the lower boundary of its trading channel. The TD Sequential indicator on the 12-hour chart provided a buy signal when LDO approached $1.60, hinting at a possible uptrend. Historically, LDO has touched the support level at $1.52, leading to price recoveries.

However, the price has failed to break through the resistance level at $2.10 during its last few attempts in the $1.80 - $1.90 zone, indicating a consolidation phase within the channel. If the buying momentum sustains and Lido breaks above $1.70, it could aim for the upper channel boundary at $2.40, sparking a move to new highs. Conversely, failure to hold current support might see LDO testing lower support levels, potentially down to $1.3400.

The future trajectory for LDO hinges on its ability to maintain above the mentioned support, coupled with sentiment and volume changes. A successful rebound could affirm the bullish outlook, while a break below could signal a prolonged downtrend, challenging the current market structure.

Further analysis showed a rise in the number of transactions for LDO, reaching a peak of 2.83k transactions by early February 2025, correlating with an increase in price to $1.87. This period of heightened transaction activity suggested growing interest or trading volume, which can positively impact LDO. During late December and early January, transaction volumes consistently surpassed the 1.61k average, aligning with the price of Lido, which appeared to stabilize and even increase slightly during these spikes in transactions.

If this trend of increasing transactions continues, it could lead to further appreciation in LDO’s price, possibly reaching higher resistance levels. Conversely, a decline in transaction activity could signal waning interest, potentially leading to a price correction.

The profitability of active addresses holding LDO showed 37.47% of the LDO volume was held being in profit. Conversely, 52.40% of the LDO volume were “Out Of the Money,” showing a significant portion of holders might face losses if they sold at press time prices. Interestingly, 10.13% of LDO holders were “At the Money,”