Understanding ONDO's Price Weakness Amid Record TVL Growth

Ondo Finance has reported a record high for its Total Value Locked (TVL), reaching an impressive $1.93 billion following an announcement on December 15th. The firm plans to introduce tokenized U.S. stocks and ETFs on the Solana platform starting in early 2026, marking a significant expansion beyond Ethereum and the BNB Chain. This strategic move positions Solana as a key player in Ondo's tokenized finance initiative.

Key Takeaways

Ondo Finance achieved a new all-time high in TVL at $1.93 billion.
The introduction of tokenized U.S. stocks and ETFs on Solana is set for early 2026.
ONDO’s price has stabilized in the $0.36–$0.39 range despite the TVL increase.
Technical indicators show bearish momentum, questioning if the market is pricing in broader risks.
Solana maintains crucial support levels amidst ETF inflows.

ONDO TVL surges to an ATH of $1.93B, but the price stalls near $0.39—why?

Despite the promising news, both ONDO and Solana have experienced mixed reactions in the market. After the announcement, both assets faced a price pullback, which was unexpected given the positive protocol metrics.

TVL Surges While Price Stalls

ONDO's Total Value Locked (TVL) has soared to a record high of $1.93 billion; however, the price has dipped back to the $0.36 to $0.39 range. This discrepancy indicates that capital remains engaged within the protocol even during periods of stabilization. Liquidity has not evacuated quickly following the ambitious announcement, but technical indicators have not confirmed a bullish price trend. The Relative Strength Index (RSI) for ONDO sits around 34 on the daily chart, indicating ongoing bearish momentum despite the TVL rally.

Pressure on Momentum

After the announcement, ONDO’s price fell below $0.40, briefly touching $0.36. While there were signs of a potential stabilization in the RSI, there is still no clear indication of a sustained upward trend.

Price Chart for ONDO

Source: TradingView

The ONDO MACD remains beneath the zero line, highlighting persistent downward pressure. Current resistance is noted around $0.50, while a severe downside risk could take the price to around $0.25, suggesting that the price changes are currently misaligned with the strong fundamentals.

Solana's Key Support Levels

SOL Price Chart

Source: TradingView

On the same day as the Ondo announcement, December 15th, Solana [SOL] briefly fell below $122, reaching approximately $117. However, buyers quickly intervened to maintain the price between $122 and $145. The four-hour RSI was close to 52, and a subdued MACD indicated a neutral market momentum, suggesting a phase of accumulation rather than a significant breakout.

During this session, Solana saw inflows totaling $35.20 million into ETFs—the highest in the week, reflecting strong investor interest despite ongoing price weakness.

Is ONDO Consolidating or Repricing Lower?

The rise in ONDO’s TVL contrasts sharply with its bearish RSI and MACD readings, implying potential accumulation without immediate price validation. Market sentiments remain cautious, leading to uncertainty about whether the price will stabilize or continue to decrease. Overcoming the local resistance could indicate a shift towards better momentum, while failing to do so may prolong the current phase of consolidation.

Final Thoughts

As we continue to monitor the evolving situation, it's crucial to balance the impressive growth of ONDO’s TVL with the underlying price dynamics that reflect the market's sentiment. Understanding these trends can help investors navigate the complexities of cryptocurrency investments.