$LDO Recovery Predicted as Token Tests Multi-Year Support
Lido DAO's $LDO token has plummeted nearly 94% from its previous all-time high, but analyst Crypto Patel believes it could recover by as much as 1,700%. According to Patel, $LDO is sitting in a high-risk accumulation zone and has been testing multi-year support after a heavy sell-off.
The token's recent weakness has been linked to concerns around Ethereum's proposed EIP-8361, which aims to prevent staking from rising without limits. Developer Jerome de Tychey said the proposal is still an early draft and has a long process before any possible implementation.
Crypto Patel warned that the token's bearish structure remains intact until it reclaims major resistance levels, specifically $0.47 on a weekly closing basis. A move above this level could signal a trend change, with potential targets at $1.50 and $2.50 before potentially reaching its old cycle high near $4.
The analyst points to Lido's continued lead in Ethereum liquid staking and the shrinking token supply left to unlock as reasons why the setup could work if $ETH climbs back above $3,000.