beincrypto.com
Ondo’s (ONDO) price has increased by 30% in the last 24 hours, making it one of the top gainers within the period. Before the recent upswing, the token of the Real World Assets (RWA) tokenization project fell to $0.64.
Notably, the significant recovery could be linked to significant accumulation by a familiar player. Can this help ONDO sustain the uptrend?
Blackrock Backs Ondo One More Time
According to the blockchain tracker Arkham Intelligence, Blackrock purchased ONDO tokens valued at $5 million on August 5. Before that, the world’s largest asset manager had bought the same cryptocurrency using 3.11 million USDC.
The purchase brings the total number of tokens accumulated to over $10 million within the last six days. If this continues, it could help put upward pressure on ONDO’s price.
Based on BeInCrypto’s findings, the accumulation remains part of Blackrock’s mission to allow instant settlements of tokenized assets on OUSG, its U.S. treasury-backed token.
Read more: What Are Tokenized Real-World Assets (RWA)?
Apart from the buying pressure recently experienced, activity on Ondo’s blockchain has been blistering. According to IntoTheBlock, active addresses on the network surged by 101% in the last seven days.
New addresses jumped by 44%, while zero-balance increased by 70% within the same period. The surge in all three metrics indicates that user engagement is clearly present.
This is also true for both new participants making their first successful ONDO transaction and those joining the network who have yet to adopt the token. Typically, when a project experiences such hikes, it suggests that the price of the native token may gain from it.
Therefore, if activity on Ondo’s network continues to surge, the cryptocurrency’s value may rise well above $0.72 in the coming days.
ONDO Price Prediction: First Target Aimed at $0.87
ONDO’s recent price increase means it is now 51.48% away from reaching its all-time high of $1.48. This rebound also seems to have presented a buy signal for the token.
If validated, Ondo could be looking at erasing the 38% decline it encountered since August 1 to reach $0.87.
From the chart below, this price is where the 38.2% Fibonacci retracement lies. However, as a golden rule, any crypto that wants to sustain its uptrend must hold on to the 38.2% Fib level.
If this happens with the cryptocurrency, the underlying strength of the previous bounce will be termed strong, possibly helping the price reach $1.10, where the 61.8% golden ratio is.
Read more: How To Invest in Real-World Crypto Assets (RWA)?
On the contrary, if ONDO fails to reach a swing high, this prediction could be invalidated. In the event that this happens, the token could approach a swing low of $0.50.