- Lido-linked wallet offloads $21M in LDO, triggering a steep 24% weekly price drop
- Bearish momentum grows as LDO forms consistent lower highs and fails key rebounds
- MACD and RSI indicators signal weakening demand and potential for deeper downside
Over the past week, Lido DAO (LDO) has come under intense scrutiny following a series of large-scale token transfers. According to EmberCN, data, a suspected wallet linked to the Lido team reportedly moved 21.31 million LDO, valued at over $21 million, to centralized exchanges.
These consistent transfers happened at the same time LDO’s price dropped a steep 24 percent, falling from $1.16 to $0.88. On Monday, May 19, this trend apparently continued. Another 3.5 million LDO was sent to exchanges like Binance, OKX, Bybit, and Gate. This pattern created concerns among traders and investors. It suggests potential offloading activity and is contributing to negative price sentiment for LDO.
Pattern of LDO Moves to Exchanges Suggests Possible Deliberate Sell-Off
These recurring transactions especially after weekends suggest a deliberate and scheduled sell-off strategy. Moreover, the timing has aligned closely with increased volatility and trading volume.
Related: Lido DAO’s LDO Climbs 8%: Whale Buys $4.9M in a Week
The 24-hour volume spiked to $116.24 million, up nearly 74%, signaling heightened market activity. Such volume surges typically reflect increased buying or selling pressure, and in this case, it appears to be the latter.
LDO Struggles to Hold Support; Bearish Momentum Evident
LDO’s price trajectory has taken a bearish turn, forming a clear pattern of lower highs and lower lows. Early Monday, the token hit an intraday peak of $0.9387, but it quickly retreated as sellers took control.
The price failed to sustain even short-lived recoveries, confirming the strength of downward momentum. Currently, LDO is trading around $0.8664, with key support observed at $0.8600. If this level breaks, the next notable floor could lie at $0.8500, a psychological and technical support area.
On the resistance side, $0.9387 remains a major hurdle. Minor resistance zones between $0.9500 and $0.9600 emerged during midday attempts to rebound, but these efforts lacked strength. Consequently, any recovery will require strong volume and a reversal of current sentiment.
LDO Technical Indicators (MACD, RSI) Signal Weakening Confidence
The MACD indicator paints a cautionary picture. The MACD line recently crossed below the signal line, indicating waning momentum and a bearish setup. The histogram also shows a negative divergence, reinforcing the potential for continued downward pressure.
Related: Lido DAO (LDO) Price Prediction 2025-2030: Future Outlook, Growth Potential, and Key Levels
Additionally, the Relative Strength Index (RSI) currently reads 45.55. While technically neutral, it is edging toward bearish territory. A dip below the 40 mark would further confirm weakening demand and increase selling interest.
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