LayerZero Bulls Eye $1.40 Target as Whale Support and Spot Demand Surge

LayerZero (ZRO) has been on a tear, extending its bullish momentum since breaking out of a pennant consolidation pattern on August 19. The altcoin's price surged beyond the pattern's pole high at $1.30 before encountering resistance and reversing course on August 23.

The rally resumed again after ZRO's recent gains, which have added up to a 35% weekly surge. This upward momentum has been supported by improving spot demand and strong whale activity in Futures markets, with the altcoin trading above its key daily exponential moving averages (EMAs) at press time.

According to CryptoQuant data, large whale orders have dominated ZRO's Futures market, suggesting that larger participants are actively positioning around the token's current price. Meanwhile, the Spot Taker CVD hinted at increasing buyer dominance, indicating strengthening spot demand across the board.

With its trading volume exceeding its fully diluted valuation over the past week, LayerZero may have the necessary volatility to push through selling pressure from profit-taking phases and continue towards its short-term price target of $1.40.