Ondo (ONDO) has completed a significant corrective phase, forming a descending wedge on the higher time frame.
The current price action suggests a potential breakout, with early signs of a bullish recovery emerging.
The lower time frame chart highlights a possible impulsive wave structure, which could indicate a trend reversal if key resistance levels are breached.
ONDO Price Analysis
ONDO has been in a prolonged downtrend, forming a clear descending wedge since reaching a high of $2.13 in mid-December.
The Elliott Wave structure suggests a completed W-X-Y correction, with wave Y bottoming near $0.73, aligning with the horizontal support level from last year.
The 0.786 Fibonacci retracement at $0.91 remains a crucial resistance level. Historically, a breakout from this region has triggered strong upside moves.
The Relative Strength Index (RSI) shows bullish divergence, indicating seller exhaustion and a potential trend reversal.
Since its recent low, we saw an increase of nearly 20%, which could be an early sign of the staring bull phase.
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A confirmed breakout above $0.96 would open the door for higher targets, with $1.18 (0.618 Fib) and $1.36 (0.5 Fib) acting as major resistance zones.
However, failure to hold $0.73 could invalidate the bullish scenario and lead to a deeper decline toward $0.58.
ONDO Price Prediction
The 1-hour chart suggests ONDO is in the early stages of a bullish impulse wave after bottoming out near $0.73.
The price has already formed the first five-wave structure, which is assumed to be wave 1 of the higher degree count.
If this is true, we are currently seeing the development of the second sub-wave, which could lead to a slighter pullback.
A short-term correction (wave ii) could retest $0.81-$0.85 before continuing higher. The next breakout level is $0.96, which aligns with the 1.0 Fibonacci extension.
If ONDO clears this level, it could rally toward $1.05 (1.618 Fib) and $1.11 (2.0 Fib).
In the bearish case, rejection at $0.96 could lead to a deeper retracement, potentially testing $0.73 again.
However, as long as RSI remains above 40, the bullish outlook remains valid, with $1.05-$1.18 as key upside targets in the coming days.
ONDO is on the verge of a breakout, with a bullish structure building. A successful impulse wave completion could confirm trend reversal, while failure to hold key supports may delay upward progress.
Key Levels to Watch
- Immediate Resistance: $0.96 (1.0 Fib extension).
- Key Resistance: $1.05 (1.618 Fib extension).
- Major Resistance: $1.18 (0.618 Fib retracement).
- Immediate Support: $0.85 (wave ii retracement).
- Critical Support: $0.73 (last correction low).
- Short-Term Target for Wave (v): Above $1.10 if momentum sustains.
- Invalidation Zone: Below $0.73, confirming further downside risk.
Disclaimer:
The information provided in this article is for informational purposes only. It is not intended to be, nor should it be construed as, financial advice. We do not make any warranties regarding the completeness, reliability, or accuracy of this information. All investments involve risk, and past performance does not guarantee future results. We recommend consulting a financial advisor before making any investment decisions.
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