Over the past week, Lido DAO (LDO) has come under intense scrutiny following a series of large-scale token transfers.

According to EmberCN, data, a suspected wallet linked to the Lido team reportedly moved 21.31 million LDO, valued at over $20 million

Lido DAO (LDO) has come under intense scrutiny over the past week following a series of large-scale token transfers, according to an x post by crypto researcher, @EmberCN.

The suspected wallet linked to the Lido team reportedly moved 21.31 million LDO, valued at over $21 million, to centralized exchanges. These consistent transfers happened at the same time LDO’s price dropped a steep 24 percent, falling from $1.16 to $0.88.

On Monday, another 3.5 million LDO was sent to exchanges like Binance (BNB/USD), OKX, Bybit, and Gate. This pattern created concerns among traders and investors, suggesting potential offloading activity and contributing to negative price sentiment for LDO.

Pattern of LDO Moves to Exchanges Suggests Possible Deliberate Sell-Off

These recurring transactions especially after weekends suggest a deliberate and scheduled sell-off strategy. Moreover, the timing has aligned closely with increased volatility and trading volume.

The 24-hour volume spiked to $116.24 million, up nearly 74 percent, signaling heightened market activity. Such volume surges typically reflect increased buying or selling pressure, and in this case, it appears to be the latter.

LDO Struggles to Hold Support; Bearish Momentum Evident

LDO’s price trajectory has taken a bearish turn, forming a clear pattern of lower highs and lower lows. Early Monday, the token hit an intraday peak of $0.9387, but it quickly retreated as sellers took control.

The price failed to sustain even brief recoveries, confirming the strength of downward momentum. Currently, LDO is trading around $0.8664, with key support observed at $0.8600. If this level breaks, the next notable floor could lie at $0.8500, a psychological and technical support area.

On the resistance side, $0.9387 remains a major hurdle. Minor resistance zones between $0.9500 and $0.9600 emerged during midday attempts to rebound, but these efforts lacked strength. Consequently, any recovery will require substantial volume and a reversal of current sentiment.

LDO Technical Indicators (MACD, RSI) Signal Weakening Confidence

The MACD indicator paints a cautionary picture. The MACD line recently crossed below the signal line, indicating waning momentum and a bearish setup. The histogram also shows a negative divergence, reinforcing the potential for continued downward pressure.

Additionally, the Relative Strength Index (RSI) currently reads 45.55. While technically neutral, it is edging toward bearish territory. A dip below the 40 mark would further confirm weakening demand and increase selling interest.