ONDO's 18% Correction: Whales Exit, RSI Cools, Price Drops Below $1

Ondo Finance (ONDO) has faced significant challenges in recent trading days, with a substantial 18% correction and a decline in whale activity. The asset's price movement is now closely tied to key support levels and potential bullish catalysts stemming from macroeconomic factors.

ONDO's Relative Strength Index (RSI) peaked at 76.1 before declining to 54.8, signaling a potential shift in market dynamics. Traders had anticipated continued bullish momentum, but the subsequent retraction indicates potential profit-taking. The current RSI value reflects a cooling off period as it settles in neutral territory, suggesting that buying pressure may be diminishing. The ongoing progress of the RSI will be critical in determining the preservation of ONDO's bullish structure or the risk of additional downside movement.

Following a steady rise in the number of ondo whales, there has been a noticeable decline, with the count decreasing from 221 to 214. This shift is pivotal as it reflects the sentiment of larger holders whose actions can significantly sway market prices. While the decline in whale numbers is noteworthy, it remains higher than in previous months, hinting at ongoing investor confidence. The decrease in whale activity after a sustained period of accumulation may suggest profit-taking or a tactical repositioning by large stakeholders. Observing whether this trend persists or reverses will be critical, as declining whale numbers could contribute to further corrections in ONDO's price.

Yesterday's market rally brought ONDO's price close to $1.20 before significant profit-taking triggered a decline, raising questions about the asset's immediate future. As ONDO drops below the $1 mark, its short-term outlook is closely tied to whether the recent correction extends deeper or begins to stabilize. Should the downward momentum continue, critical support levels to monitor will be around $0.95 and potentially further down at $0.90 or $0.88. A drop beyond $0.80 would mark a notable shift, as it would be the first such occurrence since November 2024. Conversely, a resurgence of bullish sentiment—possibly fueled by favorable regulatory news regarding cryptocurrencies or ONDO's acceptance into US strategic reserves—could enable a rebound, potentially pushing the price past resistance levels of $1.26 and $1.44, with further upward movement possibly targeting $1