Lido DAO (LDO) price has rebounded sharply 2 days ago and is nearing its final resistance area ahead of a new all-time high.
In February 2023, LDO price created a double top pattern (green circle) above the $3 horizontal resistance area. The double top is a bearish pattern, which means that it leads to reversals most of the time.
As expected, the price then declined, validating the long-term resistance area at $3 and creating a long upper wick (red icon) on March 14th.
Currently, LDO is trading in the middle of its $2-$3 horizontal range. Since the daily RSI is above 50 and increasing (green symbol), a breakout from the range is the most likely scenario.
If that happens, the next resistance is at $4.12, created by the outside 1.61 Fibonacci retracement of the recent decline.
On the other hand, if the upside loses momentum, LDO could drop to the $2 support area again.
April Lido DAO (LDO) Price Prediction: New All-Time High on the Horizon?
Technical analysis from the short-term 6-hour time frame gives a bullish forecast for LDO prices for the month of April. The main reason for this is the breakout from the descending resistance line and validating it as support (green icon). The move was combined with the RSI breaking above 50, adding to its legitimacy.
LDO failed to move above the 0.618 Fibonacci retracement resistance level despite the breakout. If this happens, it will confirm that the trend is up, and a new high is expected at all.
However, if the price is rejected, a downward move towards the low range at $2 could ensue.
In conclusion, the most likely outlook for LDO price is an increase towards the $3 resistance area and an eventual breakout. This may lead the price to rise towards $4.12. On the other hand, rejection from the $2.80 area will invalidate these bullish expectations. In this case, LDO price could drop to the bottom of its range at $2.
For the latest cryptocurrency market analysis from BeInCrypto, click here.
In line with Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate and unbiased reporting, but market conditions are subject to change without notice. Always do your own research and consult with a professional before making any financial decisions.