Why is the price of Ondo Finance (ONDO) increasing?
Ondo Finance (ONDO) price rose to a new all-time high above $1.15. Ondo's price increase is driven by SEC approval of Ethereum ETFs and strong institutional support. Ondo Finance (ONDO) increases the visibility of transactions on Coinbase.
Ondo Finance (Ondo), the native token of tokenized real-world asset (RWA) platform Ondo Finance, is experiencing a dramatic price increase recently.
ONDO Token recently hit an all-time high of $1.16 and seems to have found its footing despite a slight dip.
At press time, ONDO was trading at $1.10, representing a 10.45% increase in the last 24 hours, a 16.66% increase in the last week, and a 24.00% increase in the last month.
Since its inception, ONDO's price has increased by an impressive 577.86% from its IEO price of $0.055 in January 2024.
These figures show ONDO's strong upward movement and growing investor interest.
Key incentives for Ondo price increase
1. SEC Approval of Spot Ethereum ETFs
One of the main factors contributing to ONDO's recent price increase is the US Securities and Exchange Commission's (SEC) approval of spot Ethereum exchange-traded funds (ETFs).
This landmark decision has fueled market optimism, suggesting a more favorable regulatory environment for cryptocurrencies.
The approval not only boosted Ethereum (ETH), but also had a positive impact on Ethereum-related tokens such as ONDO, which is considered a strong Ethereum-beta value and a key player in the “real world asset” narrative.
2. Coinbase list
Another big motivator for ONDO's rally is its recent listing on the Coinbase Eternal Market.
The inclusion of ONDO-PERP along with PYTH-PERP and ZETA-PERP on Coinbase has made it more accessible and tradeable for investors.
This move significantly increased ONDO's visibility and transaction volume, which increased by 130 percent to $455,519,046.
3. Strong institutional support
Ultimately, Ondo Finance's strategic partnerships and investments are key capitals that have played a vital role in boosting investor confidence.
In April 2022, Ondo Finance received $20 million in Series A investment, including Pantera Capital, Coinbase Ventures, Tiger Global Management, Wintermute and GoldenTree Asset Management, among others. These institutional supports are a positive indicator of long-term growth prospects.
In the year At the end of March 2024, Ondo Finance transferred $95 million of its assets to BlackRock's tokenized fund BUIDL for US Treasury-backed OUSG's accelerated settlements.
While this particular transaction did not directly drive recent price action, its relationship with BlackRock, a dominant force in the ETF market, has increased ONDO's market awareness.
Pantera Capital's support further adds to Ondo's credibility, providing the financial muscle and strategic support needed to navigate the changing crypto landscape.
ONDO Finance on the chain (ONDO) data insights
According to Defilama, Ondo Finance achieved a locked-in maximum value (TVL) of $444 million on May 24.
In addition, data from IntoTheBlock shows that there has been a significant increase of 52.3% in transaction volume, with 84% of Ondo owners in a profitable position and 15% in a breakeven position.
In addition, concentration among large holders is 92% higher, with approximately 63% of holders retaining their brand within one to twelve months.
The information on the chain mentioned above, the market sentiment around ONDO, many analysts and traders are predicting further gains.
