Ondo Finance (ONDO) Rallies 7% Amid Trend Reversal Hopes

Ondo Finance (ONDO) has seen a notable increase of nearly 7% in the past 24 hours, aiming to reclaim a market capitalization of $3 billion after experiencing a significant 38% correction over the last 30 days. This recent price recovery suggests a potential shift in trend, but key resistance levels must be surpassed to confirm this change.

Indicators such as the Directional Movement Index (DMI) and Chaikin Money Flow (CMF) show that selling pressure is diminishing while buying interest is growing. If ONDO can break past the $0.90 mark, it could rally towards $1.08 and potentially even $1.20. However, if the momentum fails to sustain, the price could drop below $0.70.

The Average Directional Index (ADX) for Ondo Finance is currently at 33.8, down from 40.5 the previous day. This indicates that while the downtrend remains strong, its intensity is starting to weaken. The ADX measures trend strength on a scale from 0 to 100, with values above 25 signaling a strong trend and values below 20 suggesting a weak or non-trending market. Since Ondo Finance's ADX is still well above 25, the bearish trend remains dominant, but the decline suggests that momentum could be slowing.

Additionally, the +DI has climbed to 21.9 from 11.18, while the -DI has dropped from 34.3 to 24.11. This shows that selling pressure is fading while buying pressure is increasing. However, since -DI remains slightly above +DI, the downtrend is still in place. If +DI continues rising and crosses above -DI, it could confirm a shift in momentum, potentially signaling a trend reversal. Until then, Ondo Finance remains in a downtrend, but bulls are gaining ground.

Ondo Finance's CMF is currently at 0.07, recovering from a negative low of -0.32 just three days ago. The CMF measures buying and selling pressure by analyzing both price and volume, with values above 0 indicating accumulation (buying pressure) and values below 0 signaling distribution (selling pressure). A CMF above 0.05 suggests growing bullish momentum, while prolonged negative readings often align with downtrends.

Ondo Finance's CMF turned positive after spending two consecutive days in negative territory, signaling that buying pressure is increasing. With CMF now at 0.07, capital inflows are returning, which could support further price recovery. However, since the value is still relatively low, sustained buying volume is needed to confirm a strong uptrend. If CMF continues rising, it could indicate stronger accumulation, potentially leading to a breakout and establishing ONDO among the top Real-World Assets coins in the market.

ONDO is currently recovering after dipping below $0.79 for the first time in months, following a broader correction across major RWA coins in the last 30 days. The recent bounce suggests buyers are stepping in, but the trend remains uncertain, with key resistance levels ahead. If it breaks above $0.90, it could continue rising toward $0.99, and a further breakout could send it to $1.08 or even $1.20. However, if the uptrend fails and selling pressure returns, ONDO price could drop to $0.73, with the risk of falling below $0.70 for the first time since November 2024.