- Lido DAO (LDO) and Synthetix (SNX) lead the crypto top 100.
- A crypto market decoupling from the NASDAQ 100 took place ahead of the US opening bell, with investors refocusing on crypto network news.
- An Ethereum (ETH) return to $1,500 has delivered support to LDO and the broader crypto market.
Lido DAO (LDO) Stands Out in NASDAQ Decoupling
After ending last week down 26.5%, Lido DAO (LDO) is on target to end a four-day losing streak. Reversing a 2.77% loss from Sunday, LDO is up 16.2% to $1.8446 with 3 hours of the Monday session remaining.
A shift in investor focus away from the NASDAQ 100 and the Fed brought about a broad-based relief rally. There were no US economic indicators to test investor resilience.
For LDO, an Ethereum (ETH) return to $1,500 supported the breakout session, as investors returned their attention to the upcoming Merge.
LDO is intertwined with ETH price action, Ether staking numbers provided direction. The staking numbers dictate the LDO correlation with ETH, which leaves LDO in the hands of the Merge news and ETH price action.
Today’s ETH price rally and an uptrend in ETH staked with Lido contributed to the breakout session.
Looking at the trends, a move through last week’s high of $2.3468 would bring the August high of $3.1044 into play. A return to $3.00 would then give the bulls a run at $3.5.
For the bears, an LDO fall through Monday’s August low of $1.5525 would bring the June and the current-year low of $0.3996 into view.
Synthetix (SNX) Leads the Crypto Top 100 on Network News Updates
Last week, Synthetix (SNX) fell by a relatively modest 4.82% to record a third consecutive weekly loss. The loss came despite a bullish weekend, with a Fed Chair Powell-fueled 9.90% slide on Friday leaving SNX in the red.
However, SNX currently leads the crypto top 100, rallying by 18.06% to $3.5025 with three hours of the session remaining. Network news updates have delivered the three-day winning streak.
On Friday Synthetix founder Kain Warwick announced a new proposal to end SNX inflation at 300 million tokens in ten weeks. Warwick tweeted,
“Just proposed a SIP to end SNX inflation at 300m tokens in ten weeks. After informal discussions today, it seems like it has a decent chance of passing. A formal presentation is planned for next week. Inflation was designed to bootstrap the network and it has done the job.”
Market reaction to the 300 million token upper limit was positive. Warwick is of the opinion that they can generate sufficient fee yields from atomic swaps.
Looking at the trends, an SNX move through the August high of $4.4067 would give the bulls a run at the May high of $5.2782. From the May high, it would be a free run at the April and 2022 high of $8.1960.
However, a fall through the August low of $2.6140 would bring the June and the current year low of $1.4296 into view.
Ethereum (ETH) Leads the Crypto Top Ten as the Focus Returns to the Merge
Last week, Ethereum (ETH) slid by 11.80% to end the week at $1,424. An 11.05% Fed Chair Powell-induced slump left ETH in the deep red for the week. However, on Monday ETH looks to end a three-day losing streak, with investor focus returning to the Merge. ETH is up by 8.19% to $1,544.
While sentiment towards the September Merge remained ETH price positive, news of CME Group launching Ether Euro futures was also bullish. On Monday, ETH fell to a new August low of $1,421 before the return to $1,500.
Looking at the trends, a breakout from the August high of $2,013 and a return to $2,500 would target the May high of $2,968. A move through to $3,000 would give the bulls a run at the April high of $3,582.
However, a fall through the August low of $1,424 would bring the June and the current year’s low of $880 into view.