Arbitrum, Ondo, Zetachain: Top Cryptos to Watch This Week

Arbitrum, Ondo, Zetachain: Top Cryptos to Watch This Week
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Arbitrum (ARB): Key Unlocks and Market Performance

Arbitrum, the second-largest Layer-2 network, is a key cryptocurrency to keep an eye on this week. The network is set to unlock tokens worth $67 million, or 1.08% of its float. This follows an earlier release of 53% of its total tokens, with the final release scheduled for April 2027.

Despite its significant position, Arbitrum has seen a 70% decline from its peak in 2024. The network has faced competition from other Layer-2 solutions like Base Blockchain, contributing to the drop in value. Arbitrum’s token is now trading below its 50-day and 25-day Exponential Moving Averages, hovering just above the crucial support level of $0.70. If it falls below this level, it could signal further downside movement, potentially reaching $0.4625, its lowest point from November 2024.

Ondo Finance (ONDO): Token Unlocks and Market Trends

Ondo Finance also presents an interesting case this week as the network is set to unlock tokens worth $2.38 billion, or 133% of its float. Ondo’s circulating supply is currently 1.38 billion tokens, with a maximum supply of 10 billion, and its token unlocks will continue until 2029.

With rising bond yields, Ondo could see increased attention from investors shifting toward money market funds. The network’s USDY and OUSG stablecoins yield 4.35% and 3.28%, respectively. However, the performance of ONDO in the current market environment remains uncertain.

On the daily chart, ONDO has fallen from a high of $2.13 in December to $1.23, breaking below the 50-day and 25-day moving averages. The key support level at $1.4800 has also been breached. On a positive note, ONDO has formed a falling wedge pattern, with the two lines nearing confluence. This could signal potential upward momentum, possibly targeting a return to $1.4800.

Zetachain (ZETA): Market Trends and Token Unlocks

Zetachain, with a market capitalization of $337 million, is another cryptocurrency to monitor this week as it unlocks tokens worth $145 million, or 49% of its market value. Despite its promising potential, Zetachain has been in a strong downtrend since peaking at $1.3752 in June of last year.

The total value locked (TVL) in Zetachain’s DeFi ecosystem has also experienced a significant drop, from $16 million in November 2024 to just $7 million today. The ZETA token has consistently remained below all key moving averages and is currently testing the critical support level at $0.5328, its lowest swing since October 2024.

If ZETA breaks below this support, it could face further declines, potentially reaching $0.3530, its lowest point in 2024. Investors should watch closely for any signs of stabilization or reversal at these support levels.

Conclusion: Key Cryptos to Watch in a Risk-Off Market

This week’s cryptocurrency market trends are influenced by the broader risk-off sentiment, driven by rising U.S. bond yields and a potential hawkish tone from the Federal Reserve. Among the top cryptos to watch are:

  • Arbitrum (ARB): Watch for its token unlock and potential downside risks if support levels break.
  • Ondo Finance (ONDO): Monitor its stablecoin yield and potential for recovery after its token unlock.
  • Zetachain (ZETA): Pay attention to the unlocking of tokens and the key support levels that could determine its next move.

Investors should stay cautious and monitor these cryptocurrencies for any signs of recovery or further declines, especially in the context of the broader economic environment. With the Federal Reserve’s stance on interest rates continuing to influence market sentiment, these altcoins could experience significant volatility in the coming days.