ONDO Remains Under Pressure Ahead of U.S. Crypto Market Vote

ONDO has been under persistent selling pressure on Monday and has been moving in a definite trend in the market as investors have been evaluating both bearish market indicators and new trends in regulations in the United States.

ONDO is still operating in a clear daily downward trend, with its price remaining below the full EMA ribbon. The 20 EMA at around $0.400 continues to be a critical rejection area as it has been consistently blocking any upward attempts. The price remaining below this area continues to be under downward pressure.

Key support is seen around $0.338-$0.335 levels, which corresponds to the lower Bollinger Band. A short-term reaction from there might see prices move to $0.380 and then $0.400. But a daily close below $0.330 would negate support and see prices move to $0.300 and then further to $0.280 levels.

Upside recovery faces multiple resistance layers. Immediate bullish targets include $0.415 and $0.462, where selling pressure is expected to increase. A stronger reversal would require reclaiming the $0.525 level near the 200 SMA. Only a sustained breakout above $0.738 would signal a long-term trend shift.

Also Read: ONDO Eyes Multi-Leg Rally: Key Levels Suggest 2000% Cycle Potential

Technical Momentum Signals Bearish Control

The weekly RSI is approximately 30, which puts ONDO on the boundary of being oversold. This is indicative of heavy selling and a lack of momentum. In the past, an RSI of 30 has often provided relief rallies, but on the weekly chart, it is more indicative of a continuation of the downtrend unless the RSI moves and stays above 40.

The MACD is still below the zero line, but the signal line is above the MACD, indicating that bearish momentum is in place. The red histogram is also getting bigger, indicating that the bearish force is building. For now, the prevailing trend will be a continuation, not a reversal.

Regulatory Developments Draw Market Attention

But apart from price movements, traders are now also tracking regulatory signals that may have an impact on the future outlook of ONDO. The Clarity Act, which is set to be reviewed by the Senate in the latter part of this month, is intended to provide clearer regulations regarding digital assets in the United States.

The new framework focuses on “regulation by rules” instead of rule enforcement, which is seen as a positive development among market participants.

Even though it has not been finalized and can still change, more clarity regarding federal regulations can go a long way towards making it easier for crypto projects to comply. Tokens related to infrastructure and tokenized asset structures like ONDO and SEI have been mentioned in market chatter to possibly benefit from more clarity.

However, it is worth noting that regulatory progress is no guarantee of market effect. This is because the benefit of any regulatory progress would depend on the final legislative language and the macroeconomic environment.

Also Read: ONDO Set to Surge: Price Could Skyrocket to $1.70!