Today is Lido Island (LDO) seize It has attracted special attention due to its impressive price rise. It has seen impressive resurgences along with other major cryptocurrencies, including Bitcoin and Ethereum.
However, DeFi tokens have significantly outperformed the broader cryptocurrency market. Let’s take a look at what the Lido DAO token is and understand what is driving its upward trend.
Why is Lido DAO price rising?
With a price increase of 11.60% over the past 7 days, LDO has outperformed the global cryptocurrency market, which is up 7.60% today. Over the past 30 days, the coin has risen 11.87%, adding significant value to its price.
At press time 11:37 AM East African time, Lido DAO was trading at $2.97, up 9.02% in the last 24 hours, according to Coinmarketcap. The token’s trading volume was $148,726,946, up 53.40% from yesterday, indicating an increase in market activity recently. LDO’s market capitalization is $2,649,159,695, making it the 48th largest cryptocurrency in the entire cryptocurrency ecosystem.
The resurgence in Lido DAO price coincides with the current net positive inflows into Ethereum’s proof-of-stake system. that much latest data The Ethereum network shows it is generating over $1 million per day in trading revenue, a 35% increase over the previous year. By staking assets on the Ethereum network, participants become validators and consequently earn profits or profits. Today there are nearly 1 million validators on the Ethereum network.
However, for a user to become a validator on the Ethereum network, they must stake at least 32 Ethereum (ETH) on the platform. Validators play a fundamental role in a proof-of-stake system as they are responsible for creating new blocks, processing transactions, and maintaining the integrity and security of the network.
But 32 ETH is huge investment Small investors cannot afford to invest in the Ethereum network. Lido DAO is here, allowing users to stake smaller amounts of ETH into the Lido pool. In this way, Lido DAO democratizes access to Ethereum staking, ensuring that many people, including retail investors, can participate in keeping the Ethereum network secure.
today, Net ETH Staking ETH in Ethereum proof-of-stake contracts stands at $31.4 million, supporting growing demand for liquid staking service providers such as Lido DAO. The price of LDOs seems to benefit from this use case.
Lido DAO price prediction
While the value of LDO is on the rise, the current surge in bullish activity is raising questions about its future trajectory. Technical indicators can help you predict the future direction of Lido DAO.
The RSI for LDO is 45.01, indicating that the Lido DAO market will move down to a neutral position in the coming days.
The Bollinger Bands also confirm bearish momentum, indicating that the LDO price will move in the middle away from the outer bands, indicating that the bullish trend will weaken.
The MACD line drops below 0 and crosses above and below the signal line, indicating that the bullish trend is about to turn bearish.
The Fibonacci retracement chart shows where LDO is likely to push the price lower. According to Fibonacci, LDO is likely to lose momentum and move lower to test the $2.628 support level. If sellers continue to dominate the market, the price could fall further and prepare to test the lower support level of $2.234 in the coming days.
Despite potential short-term volatility, Lido DAO’s liquid staking platform provides LDO with a long-term outlook for maintaining its price.
However, if the correction fails, LDO is likely to continue its upward momentum and reach the resistance level of $3.143. Additionally, if the bulls continue to dominate the market, LDO will be poised to surge the price and test the higher $3.365 support level.
What is LIDO DAO?
Lido DAO (LDO), also popularly known as Decentralized Autonomous Organization (DAO), is a decentralized autonomous enterprise. Liquid Staking Solutions For several proof-of-stake blockchain networks such as Ethereum, Polkadot, and Polygon.
A team of experienced blockchain experts, including Jordan Fish, Vasiliy Shapovalov, and Konstantin Lomashuk, founded Lido DAO in 2020.
- Lido DAO aims to optimize and simplify the staking process for Ethereum users.
- Lido DAO acts as a liquid staking platform, allowing users to pool funds to become validators on Ethereum, bypassing the network’s prerequisite of investing a minimum of 32 ETH. This will allow more people to stake Ether and participate in the consensus mechanism of the Ethereum network.
- Lido DAO runs on the Ethereum network using smart contracts to process customer deposits and provide potential rewards. Users deposit their ETH into the Lido pool and in return receive stETH tokens that can be used on other protocols or traded on secondary markets.
- The native token of Lido DAO is LDO. The token allows holders to participate in the on-chain governance of cryptocurrency projects and vote on key decisions such as platform updates, new integrations, and board adjustments.
conclusion
In a week marked by Bitcoin strength, Lido DAO demonstrated its potential, offering unique opportunities and potential profits in an evolving environment.