Here’s Why Ondo Finance’s ONDO Token Soared to New ATH, Defying Market Sentiment
Ondo Finance, a platform dedicated to tokenizing real-world assets (RWA) and backed by Pantera Capital, witnessed a surge in the value of its Ondo Finance (ONDO) token.
The coin soared nearly 20%, reaching an all-time high of $1.15 on May 24, 2024. This milestone was perhaps largely driven by Coinbase’s addition of ONDO to its perpetual market.
Performance and Future Outlook
DefiLlama data shows that the ONDO token’s increase over the past 24 hours has pushed its market capitalization beyond $1.6 billion. On May 21, Ondo Finance also achieved a peak total value locked (TVL) of $453 million, its highest level ever.
IntoTheBlock data also reveals a 52.3% rise in large transaction volumes for ONDO, with all holders currently in a profitable position. The concentration of large holders is significantly high at 92%, with around 63% of investors maintaining their tokens for periods between one and twelve months.
Since mid-March, ONDO’s price fluctuated between $0.97 and $0.69 but broke out on Friday. A 10% rally ended the consolidation, pushing ONDO to an initial record high of $1.05. Now in a price discovery phase, investors expect the bullish momentum to continue driving it upward. As of this writing, ONDO is currently oscillating around the ATH price of $1.15, and its TVL is $445 million.
Catalysts and Market Sentiment
The rally came amid the U.S. Securities and Exchange Commission (SEC) approving spot Ethereum exchange-traded funds (ETFs). Even though the green light has had a controversial impact on the rest of the market, ONDO is among the top performers on a daily scale.
Since its launch earlier this year, ONDO has seen strong demand and has rallied over 1,300% from its all-time low.
Another major catalyst behind the ONDO price rally could be related to Coinbase’s addition of the asset to its perpetual market. According to the announcement, trading has started for ONDO-PERP, PYTH-PERP, and ZETA-PERP on the perpetual markets.
Our ONDO-PERP, PYTH-PERP, and ZETA-PERP markets are now in full-trading mode on Coinbase International Exchange and Coinbase Advanced. Limit, market, stop, and stop limit orders are all now available. $ONDO $PYTH $ZETA pic.twitter.com/B7sHLUx3HR
— Coinbase International Exchange
(@CoinbaseIntExch) May 23, 2024
The exchange’s platforms, Coinbase International Exchange and Coinbase Advanced are now fully operational for trading and offer various order types, such as limit, market, stop, and stop-limit orders. Initially, the ONDO-PERP, PYTH-PERP, and ZETA-PERP markets will enter post-only mode on Coinbase International Exchange and Coinbase Advanced.
Following the announcement, several market traders have issued bullish calls for ONDO. One emphasized that ONDO represents a potent “ETH beta” set for attention soon.
Another predicts an upcoming surge in the “real-world-asset narrative,” highlighting ONDO’s noteworthy performance, ranking closely behind leading Layer 1 platforms and meme tokens this week. Additionally, a crypto trader suggested that investing in ONDO presents a good alternative for those unable to acquire securitized tokens, calling it the next best option.
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