RWA Tokenization Market Gets a Boost as Mastercard Onboards Ondo Finance

ONDO recently experienced a strong rally but is now facing a pullback alongside the broader crypto market. While Bitcoin (BTC) slipped below the critical $80K level

Ondo Finance (ONDO) has come a long way from its lows of $0.3 in December 2023. The token hit a high of $2.1 in January before facing rejection and sliding to find support around $0.8.

This level is crucial for bulls to defend to prevent further declines and set the stage for a potential rebound. A return above $0.95 could open the door for a move toward $2.3, the next major resistance level.

If current market conditions stabilize and allow for a smooth recovery, we could see ONDO aiming for $2.3 in the next three to four weeks. However, if volatility persists, this move may take longer to materialize.

Despite the ongoing market correction, which saw Bitcoin (BTC) slip below the critical $84K support, and major altcoins like Ethereum (ETH) and BNB also facing pressure, ONDO has managed to maintain its structure.

The token is currently consolidating within a falling wedge pattern, a setup that is known to signal a bullish breakout. This pattern is formed by two converging lines of price action, with the lower line providing support and the upper line providing resistance.

As the pattern progresses, the price bounces higher and higher off the lower line and lower and lower off the upper line, eventually breaking out of the pattern to continue the prevailing trend.

In the case of ONDO, the lower line of the falling wedge pattern provides support at $0.8, while the upper line provides resistance at $1.

The token has already broken out of the falling wedge pattern to the downside, but it is still trading above the key support level at $0.8. If the bulls can defend this level, then we could see the token bouncing back to test the next resistance level at $0.95.

A breakout above $0.95 could trigger a rally toward $2.3, the next major resistance level. This move would take ONDO to new all-time highs and put the token in the spotlight once again.

However, if the bears manage to break below the $0.8 support level, then we could see the token sliding to the next major support level at $0.5. This move would take the token to lows not seen since December 2023.

With market sentiment gradually stabilizing and technical indicators setting the stage for a potential rebound, ONDO's ability to hold above its support levels could ultimately determine its next move.

If the token can stay afloat and maintain its structural integrity, we could be in for an exciting continuation of the bull market in the coming weeks.