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- 1 LDO price prediction suggests a short-term bounce in the LDO token is possible.
- 2 Lido DAO price fell 10% in December and showed initial signs of a bearish trend reversal.
- 3 This token price is taking support near to the 200-day EMA.
LDO price prediction is mildly bullish for the short run and suggests a 10% to 15% bounce is possible. This token’s price is taking support near to the $2.00 and buyers are trying their best to rebound.
Lido DAO price fell approximately 10% in the current month and slipped below the 50-day EMA. It triggered the negative sentiment and displayed initial signs of a bearish trend reversal.
However, the 200-day EMA is acting as an immediate support and trying to halt the short-term fall. Furthermore, the range between $1.800 to $2.00 is the demand zone. So, it will be difficult for the sellers to pull the price further down.
The recent downfall in the LDO token price has eroded the 50% gains generated in November month. It indicates that sellers are active in the supply zone and strengthening their grip on the higher levels.
At present, Lido DAO is near to the crucial support. So, it will be interesting to see how the price will react in the coming session which will decide the next direction. Currently, the pair of LDO/USDT is trading at $2.109 with a one-day increase of 2.83%.
Will LDO Price Defend the $2.00 Support?
LDO price is in a short-term correction phase and the presence of bears on the higher levels is visible.
Any short-term bounce back from the support might face difficulty in sustaining the higher levels. Therefore, the new participants need to be careful before building fresh longs.
As long as Lido DAO token holds the $1.800 to $2.00 level, the buyers will remain active and try their best to defend the support.
The analysis suggests, that this correction is temporary and the downfall might take a halt near the demand zone.
What If Lido DAO Price Decline Further?
Lido DAO price is forming a bullish hammer candle on the weekly chart. However, the buyers need to give the follow-up momentum to bring back the confidence of investors.
On the other hand, if the situation reverses and the price slips below the $1.800 level, bears might take control of the demand zone and a sharp decline might be visible.
Conclusion
LDO price prediction is mildly bullish and suggests a decent bounce is possible from the demand zone. However, the price is in a short-term correction phase. As long as it holds the $1.800 support, building fresh shorts will be risky.
Technical levels
- Resistance levels: $2.661 and $3.000
- Support levels: $1.892 and $1.600
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational purposes only. They do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.
Andrew is a blockchain developer who developed his interest in cryptocurrencies while pursuing his post-graduation major in blockchain development. He is a keen observer of details and shares his passion for writing, along with coding. His backend knowledge about blockchain helps him give a unique perspective to his writing skills, and a reliable craft at explaining the concepts such as blockchain programming, languages and token minting. He also frequently shares technical details and performance indicators of ICOs and IDOs.