Date: Tue, May 27, 2025 | 03:00 PM GMT
The cryptocurrency market has staged an impressive rebound this quarter, with Ethereum (ETH) leading the charge. After climbing over 40% in Q2, ETH is now trading at $2,700, having recently touched a high not seen since February. The renewed momentum is sparking interest across the altcoin space.
The RWA token Ondo (ONDO) have made gains of 15% over the last 60 days and now a well-known harmonic pattern forming on its chart suggests that further upside may be on the horizon.
Source: Coinmarketcap
Harmonic Pattern Signals More Upside
On the 4-hour chart, ONDO is forming a Bearish Butterfly harmonic pattern — a structure that often leads to upside continuation until a key reversal point is hit. The current pattern still has room to play out, with bulls potentially targeting higher levels before any major pullback.
The pattern began after ONDO was rejected around $1.10 on May 11 (X point). From there, the token slid nearly 20%, bottoming near $0.88 on May 19 (A point). This leg formed the XA structure of the pattern.
ONDO 4H Chart/Coinsprobe (Source: Tradingview)
The subsequent AB leg retraced about 74.6% of the XA drop, which fits well within the ideal harmonic zone. ONDO then retraced again in the BC leg — this time around 87.3% of the AB move — stabilizing near the $0.90 range, which marked point C.
From this C point, ONDO has started its final CD leg upward — the move that typically attracts breakout traders. The key target here is $1.167, which aligns with the 1.272 Fibonacci extension of the XA leg — a classic D point for a Bearish Butterfly.
What’s Next for ONDO?
If momentum continues, ONDO could rise toward $1.16, marking a potential 20% upside from the current price near $0.96. Should the bullish momentum spill over, the next possible extension lies at the 1.618 Fibonacci level, around $1.24, but this would likely require stronger market support or a breakout above the D zone.
However, it’s important to remember that the D point often acts as a reversal area in harmonic trading. So while price may continue to climb into that zone, traders should be cautious as selling pressure may emerge quickly.
Disclaimer: This article is for informational purposes only and not financial advice. Always conduct your own research before investing in cryptocurrencies.
