Ondo Finance (ONDO) Price Shoots 40% Amid RWA Tokenization and Whale Activity

The ONDO token, which fuels the Ondo DAO and Flux Finance, has experienced significant growth recently. Over the last week, the ONDO price has surged by a staggering 40% to its all-time high (ATH) of approximately 77 cents. Ever since its listing two months ago in January 2024, ONDO has clocked more than 350% returns so far.

What’s Behind the ONDO Price Rally?

After BlackRock ventured into blockchain by introducing a tokenized fund on Ethereum, there has been a notable surge in the value of various Real World Asset (RWA) tokens.

Among these tokens, Ondo Finance (ONDO) has witnessed substantial price hikes. Ondo Finance seeks to merge traditional finance with decentralized finance (DeFi) by tokenizing securities. Its diverse offerings and growing partnerships within the blockchain ecosystem have contributed to its positive market impact.

New data provided by on-chain analytics firm Santiment reveals a surge in whale transactions related to ONDO. Over the past 24 hours, transactions exceeding $100,000 have increased from 68 to 91 unique cases. This uptick in whale activity aligns with a notable decrease in ONDO’s supply on exchanges, dropping from 536.64 million to 529.6 million tokens across all platforms during the same timeframe.

The substantial rise in whale transactions, coupled with the reduction in exchange supply, suggests a robust bullish sentiment surrounding ONDO’s market dynamics.

Expanding Tokenized Assets Offering

Earlier this week, Ondo Finance unveiled Ondo Global Markets, a new platform designed to bridge traditional and DeFi markets by introducing tokens representing ownership of conventional securities. This strategic move extends Ondo’s offerings beyond tokenized U.S. Treasuries, broadening its appeal to a wider audience and potentially boosting demand for the ONDO token.

In addition to its core product, Ondo Finance has forged partnerships with several blockchain platforms, including Aptos, Sui, and Solana. By integrating its tokenized treasury products (USDY) and exploring additional DeFi applications, Ondo is diversifying its presence across multiple chains, solidifying its position as a frontrunner in the RWA tokenization sector.

Despite the recent surge in price, it’s essential to analyze technical indicators. ONDO is currently trading above its 50-day moving average, indicating a potential short-term uptrend. Moreover, the Relative Strength Index (RSI) remains at a healthy level, suggesting further room for growth before reaching overbought conditions.

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Bhushan is a FinTech enthusiast and holds a good flair in understanding financial markets. His interest in economics and finance draw his attention towards the new emerging Blockchain Technology and Cryptocurrency markets. He is continuously in a learning process and keeps himself motivated by sharing his acquired knowledge. In free time he reads thriller fictions novels and sometimes explore his culinary skills.

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The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.