Lido DAO ($LDO) continued its strong recovery on Thursday, extending a four-day winning streak as growing speculative activity and governance upgrades boosted investor sentiment.
The liquid staking token gained nearly 12% over the last 24 hours, making it one of the week's strongest-performing cryptocurrencies.
At the same time, derivatives data showed a sharp increase in leveraged positions as traders anticipated the outcome of several important governance proposals.
Governance votes fuel investor interest
Lido DAO is currently conducting on-chain voting for two major protocol upgrades—LIP-33 and LIP-35—which are scheduled to conclude on Frida at 14:00 UTC.
The proposed upgrades introduce new versions of Lido's Curated Module and Community Staking Module v3, both aimed at improving the protocol's staking infrastructure and validator management.
In addition to the on-chain vote, the community is also participating in off-chain Snapshot governance proposals that focus on a permissionless validator module and a penalty framework for node operators.
The ongoing governance activity has attracted increased attention from traders, contributing to higher demand for the $LDO token.
According to CoinGlass data, $LDO futures Open Interest (OI) jumped 32% over the past 24 hours to approximately $75.4 million.
The increase suggests fresh capital is flowing into the derivatives market as traders establish new positions ahead of the governance vote.
Meanwhile, trading volume climbed 69% to roughly $119.4 million, highlighting growing market participation during the recent rally.
Although the funding rate remains positive at 0.0071%, it has declined from 0.0093% recorded a day earlier.
This indicates that bullish positioning remains intact but is becoming slightly less aggressive as traders approach key resistance levels.
$LDO price analysis: Can the bulls break above $0.40?
$LDO has maintained its upward momentum after reclaiming its 50-day Exponential Moving Average (EMA) at $0.2992.
The token is now approaching a critical technical resistance zone near the 200-day EMA at $0.4076, which could determine whether the current recovery develops into a sustained uptrend.
A decisive daily close above this resistance zone would strengthen the bullish outlook and expose the previous swing high around $0.4700 as the next major upside target.
A successful breakout above the 200-day EMA would likely confirm a broader bullish trend reversal.
Momentum indicators continue to favor buyers. Relative Strength Index (RSI) reads 74, indicating strong bullish momentum while also signaling overbought conditions.
Furthermore, the Moving Average Convergence Divergence (MACD) remains in positive territory with an upward-sloping signal line, confirming continued buying pressure.
While these indicators support further gains, the elevated RSI suggests that short-term pullbacks or consolidation could occur before another breakout attempt.
Should profit-taking emerge, the bears will likely retest the key support levels at $0.3317 and $0.2992 (50-day EMA)
Holding above these support levels would preserve the token's improving technical structure.
Lido DAO's recent rally is being supported by growing speculative demand, rising derivatives activity, and anticipation surrounding important protocol upgrades.
While traders remain optimistic, the $0.405–$0.408 resistance zone represents a crucial hurdle.