ONDO has recently entered a corrective phase, yet the underlying technical structure remains undeniably bullish. Currently, the price is testing a high-confluence support zone that has the potential to trigger a fresh upward move.
The recent rejection from $1.19 led ONDO to hover towards the point of control (POC) at $0.83. With a double bottom pattern forming, $1.19 acts as the neckline, while $0.67 serves as a critical support level. This correction is interpreted as a bullish pullback, provided the price continues to stay above this high-timeframe support.
The loss of value area high during this phase signified an initial signal of weakness following the rejection at $1.19. During the most recent test, this region, which previously functioned as a support level, failed to hold. Nevertheless, as ONDO approaches the POC at $0.83, the technical confluence—highlighted by the 0.618 Fibonacci retracement—renders this zone a high-probability region for support and potential reversal.
Looking deeper into the structure, ONDO’s price action aligns with a larger bullish narrative. The potential double bottom formation is gaining traction as long as the price remains above the pivotal support at $0.67. A successful bounce from the POC would not only create a higher low but also solidify the bullish structure, ensuring the viability of the double bottom setup. Thus, traders should focus on this zone for indications of demand re-entering the market.
In terms of expectations, ONDO is currently trading close to the POC, a critical level for bullish continuation. Should this support hold,[ a breakout above $1.19 would trigger an activation of the double bottom pattern] with targets set towards higher resistance levels at $1.56. Failure to maintain this level, however, could shift the spotlight towards the $0.67 support line.
In summary, despite the current corrective phase, ONDO’s trend remains upward as long as the market showcases a pattern of higher lows. The recent selloff appears more as a natural correction within an ongoing bullish environment than a full-blown reversal. Therefore, the $0.83 region is of utmost importance not just for potential buying opportunities but for its role in the overall structural integrity of ONDO’s market perspective.
