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LEO Price Prediction – Why UNUS SED LEO Could Rally to $10 Soon

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Highlights:

  • LEO is consolidating between $9.66 and $9.44
  • Buildup in bullish sentiment could trigger a resistance breach and rally to $10
  • LEO’s price stability is drawing in buyers and could trigger a breakout 

UNUS SED LEO (LEO) is showing stability in a period when most of the cryptocurrency market is in the red. At the time of going to press, LEO was trading at $9.61, up by 1.17% in the day. However, LEO’s trading volumes are down in the day, dropping by 3.23% in the day to stand at $1.77 million. 

This is a good signal as it shows that holders are not rushing to exit their positions despite the minor uptick in an otherwise red market. Such confidence in LEO could play a significant role in pushing the price higher in the short term. Several fundamental factors support the underlying strength that LEO has built up so far.

LEO’s Price Stability Drawing In Buyers

One of them is that LEO has a history of price stability regardless of the market direction. Since it launched in 2020, LEO tends to go up with the broader market. However, in times of major corrections, it tends to hold its value better than most altcoins. For context, in the last 7 days, most cryptocurrencies have lost value by over 10%.

By contrast, LEO is still up by 3% in the month. This resilience under stressful market conditions is likely to keep drawing money into LEO going into the foreseeable future. This is particularly the case due to the fact that the odds of a rate cut in the US have diminished considerably. The result is that markets are in fear that there could be a selloff of risk-on assets such as cryptocurrencies. This reality could see most cryptocurrencies continue to lose momentum going into the future. For LEO, which has a history of resilience, this could be the key thing that triggers a surge in demand in the coming months. 

LEO Deflationary Tokenomics Likely to Drive Bullish Momentum

Besides the potential FOMO from investors seeking some growth in an unpredictable market, LEO tokenomics are a strong catalyst for growth. LEO is the cryptocurrency that runs the Bitfinex ecosystem. It plays a big role in borrowing and lending on the exchange. This gives it real-world usage that holds the price stable even in times of extreme market-wide volatility.

At the same time, LEO has a predictable token buyback mechanism. This pretty much guarantees that over time, the token supply will go down. Based on the economic laws of demand and supply, this means LEO is likely to keep going up over time. That’s because while demand is on the rise, the supply of the token goes down every month.

Analysts Paint A Bullish Picture for LEO

LEO also stands to benefit from the fact that analysts are increasingly bullish on its price action. Analysts are in consensus that LEO is trading above support and that, as long as this price action holds, LEO could be headed much higher in the short term. This bullish sentiment, when the market is weak, could drive FOMO buying and help push LEO to prices above $10 in the short term. Essentially, the more LEO continues to show stability in uncertain times, and analysts keep painting a bullish picture, the higher the odds that price momentum will remain up.

Technical Analysis – LEO Consolidating But Bulls Gaining Control

LEO is currently consolidating between the $9.66 resistance and $9.44 support. If bulls take control and push LEO through the $9.66 resistance, then a rally to $10, or higher, could follow.

LEO
Source: TradingView

On the other hand, if bears take control and push LEO through the $9.44 support, then a correction to $9.26 could follow. At the moment, bullish momentum is building up, which makes a breakout to $10 more likely in the short term.

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