Lido DAO (LDO) Breaks Out of Descending Wedge Pattern at $0.85

Lido DAO (LDO) has recently broken out of a descending wedge pattern that had been limiting its price since February. This breakout, occurring around the $0.85 mark, has garnered significant attention from traders and analysts. Prominent analyst GlobeOfCrypto highlighted this development, suggesting that if the momentum holds, LDO could experience a price jump of 100% to 120%.

The chart analysis shared by GlobeOfCrypto indicates a clear breakout zone with a potential upside target near $1.70. This projection is based on the height of the wedge pattern and the breakout level, suggesting a target range between $1.70 and $1.75. However, achieving this target is not straightforward. Several resistance levels at $0.95, $1.10, $1.30, and $1.55 could impede the upward momentum. These levels have historically acted as barriers to rallies, and overcoming them will be essential for the bullish scenario to materialize.

For the breakout to remain valid, LDO's price must stay above the $0.80 level. A close below this mark would raise concerns, and a drop below $0.65 could jeopardize the entire bullish setup. In such a scenario, the price could retest the summer lows near $0.59. Currently, the focus is on maintaining support at $0.83 and pushing the price above $0.95 in the coming days. The breakout has occurred, but the key question now is whether it can sustain its momentum.

The former resistance zone between $0.80 and $0.83 is now being closely watched to see if it can flip into support. This transition is critical for the bullish narrative, as it would indicate that the months-long selling pressure may be easing. Traders are eagerly awaiting the next moves, as the success of this breakout could significantly impact LDO's price trajectory in the near future.