Why is Ondo price down 12.6% today?

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Ondo drops 12.67% today to $0.3018

Highlights

Ondo Finance enabled its tokenized equities as collateral for USDC loans on Solana through a partnership with Spout Finance.
The new loans carry no interest, with lender returns generated from covered-call premiums and Treasury bill yields, and ONDO remains primarily used for governance as a 918 million token unlock is pending.
ONDO trades below key moving averages, with strong downside pressure and an expected five-day range of $0.2722 to $0.3314.

Tokenized equity collateral shift fuels selling amid upcoming unlock

Ondo Finance expanded the use case for its tokenized equities by partnering with Spout Finance, allowing Ondo Stocks to be used as collateral for USDC loans on the Solana blockchain. The integration enables no-interest loans, with lender returns derived from covered-call premiums and Treasury bill yields. ONDO remains used primarily for governance across its platforms, accompanied by a pending unlock of 918 million tokens and a reported market capitalization of $1.7 billion, though price action has remained under broader selling pressure.

Anton Kharitonov, expert at Traders Union, points to ONDO's steep 12.67% decline and confirms a strong bearish setup. He notes clear selling pressure with the price below all key moving averages and sellers dominating momentum indicators. Kharitonov stresses the looming token unlock and outsized volatility as additional risks for holders. The analyst remarks that, despite the positive news of expanded token utility, sentiment remains negative as supply risks and technical weakness combine. "Current conditions make any long exposure highly risky unless the price reclaims $0.3314 with conviction," Kharitonov warns.

Viktoras Karapetjanc, expert at Traders Union, emphasizes the expanding use case for ONDO through the Spout Finance partnership. He believes a $1.7 billion market cap and tokenized equity adoption signal long-term potential. Karapetjanc notes that macro headwinds may alter near-term price dynamics, but sees bullish structure intact as long as the $0.2722 support level holds. "Investors should view current volatility as an opportunity — ONDO's broader integration sets the stage for further growth," Karapetjanc asserts.

Sholanke Dele, market strategist, remains skeptical on ONDO's outlook. He sees a rapid drop despite new partnerships as a sign of weak market confidence. Dele calls attention to heavy selling volume and negative intraday sentiment. "ONDO is exposed to further downside in this environment — buyers should remain extremely cautious," Dele states.

Bearish momentum persists under resistance as all indicators flash sell

ONDO/USD is trading below its 20-day, 50-day, and 200-day moving averages (MA-20 at $0.3857, MA-50 at $0.4424, MA-200 at $0.3808), highlighting sustained downside momentum across all key timeframes. Current price action is confined in a range capped by near-term resistance at $0.3041 and support at $0.2722, while the alignment of MA-50 above MA-200 points to an overall bullish longer-term trend. Momentum indicators reinforce a bearish stance: MACD and ADX both remain on sell signals, RSI is neutral, and the Stochastic RSI along with the Commodity Channel Index (CCI) are marked as oversold, suggesting possible exhaustion among sellers. Bull/Bear Power (BBP) is negative, reflecting dominance by sellers in intraday trading. ONDO has slipped to $0.3018, marking a steep intraday decline with volatility at 11.94%, and continues to trade near session lows under heavy pressure.

Earlier, analysts noted that ONDO was facing sustained bearish momentum amid failed recoveries above key technical levels, as recent product integrations and announcements had not sparked a reversal. The current analysis reinforces this outlook, with traders advised to monitor the $0.2722 support level as a potential trigger for accelerated downside risk in the days ahead.

Source of Data: ONDO Price Analysis by TU

The analysis is based on a proprietary model combining technical, on-chain, and expert data. Not investment advice. See methodology

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