Lido DAO price plunges 31% in a month, leading to 4 million LDO accumulation

• Lido DAO price has been trading in favor of the bears, slipping below $2 over the last three days.
• On May 5, the network registered losses worth nearly $35 million, the highest single-day figure in 11 months.
• The altcoin plunged further 6.8% on Monday, prompting investors to accumulate more than 4 million LDO in 24 hours.

Lido DAO price has been charting its own path, painting red on the charts, unlike Bitcoin and the leader of the altcoins, Ethereum.

Despite having dominance in the DeFi space, Lido DAO is losing traction due to a build-up of negative sentiments, leading to an enormous amount of LDO being moved in a single day.

Lido DAO price declines leave investors no choice

The price of Lido DAO continues its downtrend seen since the end of April and has dipped below the $2 mark in the last three days. This price point had been acting as a key psychological support level since the beginning of the year, and losing it triggered sudden bearishness among investors.

Consequently, LDO saw a few more red candlesticks, trading at $1.7 at the time of writing and extending the monthly drawdown to 31%.

LDO/USD 1-day chart

However, the decline was driven by the events on May 5, when the network observed its most loyal cohort moving its supply around. Long-term holders became active, and as their holdings changed hands, nearly 51.95 billion days were consumed.

The number of days is the product of the number of LDO spent multiplied by the lifespan of those coins. The higher the figure, the more bearish the impact.

Lido DAO age consumed

The inference lived up to its aphorism as the network registered the highest daily realized losses since June 2022. Around 21 million Lido DAO tokens were traded in just 24 hours, leading to losses of almost $35 million

Lido DAO realized losses

The bearishness continued on Monday with a 6.8% decline, which actually inadvertently led to a sudden burst of bullishness among investors. The supply on exchanges dropped by a little over 4 million LDO, worth around $6.8 million, as investors switched to accumulate as the price fell to a five-month low.

Lido DAO supply on exchanges

This supply has mostly been picked up by retail investors as large wallet holders and whale cohorts’ balance has not observed much increase. Addresses holding 100,000 to 10 million LDO noted virtually no change in the last 48 hours.

If the bullishness coming from the retail holders plays its charm, Lido DAO price might have a shot at recovery. This is because the next bout of selling will potentially arrive when the recently acquired LDO is in profit.

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