Ondo (ONDO) Reverses Course, Gains 3.64% as Whales Accumulate and Spot Traders Drive Supply Squeeze

Despite last week’s marginal decline of 0.46%, Ondo [ONDO] has reversed course, gaining 3.64% on the daily chart. This rally has pushed its cumulative monthly gain to an impressive 49.42%, underscoring strong bullish momentum.

Ondos’ (ONDO) price has continued to rally sharply, reversing last week's marginal decline. The token's strong bullish momentum is evident in its 3.64% gain on the daily chart, adding to its cumulative monthly gain of 49.42%.

As highlighted by a Twitter analyst, major crypto platforms have been increasing their ONDO holdings. For instance, Upbit, South Korea's largest cryptocurrency exchange, has been ramping up its ONDO acquisition over the last five months, bringing its total holdings to 185 million ONDO, or 1.86% of the token's total supply.

According to the analyst's statement:

“Upbit went from 50 million $ONDO to 185 million ONDO, which is 1.86% of the total circulating supply.”

Meanwhile, Binance, which ANB Crypto previously reported to have been accumulating ONDO, has continued adding to its holdings. According to our recent tracking, Binance's balance has increased from about 594,000 ONDO to 631,000 ONDO in just a few days.

Prominent cryptocurrency market maker Wintermute has also joined the league of major entities accumulating ONDO, among other activities.

Typically, when whale accumulation is observed, it indicates that large holders are acquiring more of the token in anticipation of a potential rally. This usually drives the asset's price higher, leading to greater profitability for those holding ONDO.

Spot traders, on the other hand, are reducing the amount of ONDO available on exchanges, as evidenced by the negative Exchange Netflow for the token on Coinglass. This indicates that more ONDO is being withdrawn than deposited, leading to reduced availability of the asset on trading platforms and increasing the potential for a supply squeeze.

At press time, this segment of the market has moved approximately $4.10 million ONDO into private wallets in the past week, showing a strong long-term commitment to holding the token.

If this trend continues, ONDO's price rise could finally gain momentum as reduced supply on exchanges meets increasing demand.

In the last 24 hours, approximately $297,180 ONDO worth of long positions were liquidated as the market's directional bias briefly shifted to bearish. This aligns with the Open Interest—a metric that measures market sentiment based on the number of active, unsettled derivative contracts—which has declined. Notably, there is now an increase in unsettled short contracts.

Given the current sentiment among whales and spot traders, combined with ONDO's daily gains of 3.46%, derivative traders betting on short positions may soon face significant losses if the bullish momentum continues.