Lido DAO price rebounded more than 5% on Thursday as holders voted on the NEST automated buyback system, although concerns over Ethereum’s proposed staking changes kept LDO under pressure.
Summary
- Lido DAO price rose 5.2% in 24 hours after briefly falling to $0.2757.
- The token remains down 16.7% over seven days but has gained about 5% monthly.
- Lido DAO’s NEST vote runs until Aug. 8 at 2:00 p.m. UTC.
- Ethereum’s proposed EIP-8361 raised concerns about Lido’s future staking revenue.
Lido DAO price rebounds after 16% weekly decline
According to data from crypto.news, Lido DAO (LDO) price traded near $0.293 at the time of writing. The token moved between $0.2757 and $0.3048 over the previous 24 hours before recovering about 5.2%.
Despite the rebound, LDO remained down approximately 16.7% over the past week. It underperformed the broader cryptocurrency market, which gained about 1.3% over the same period.
The monthly performance was more positive. LDO remained about 5.1% higher over 30 days after rallying during July. The token had gained roughly 65% at one point last month before encountering resistance around $0.40.
Trading volume reached about $62.2 million over 24 hours. However, volume was 11% lower than the previous day, suggesting that participation eased after the initial sell-off.
Ethereum staking proposal pressures LDO
LDO’s weekly decline accelerated as the Ethereum community debated EIP-8361, a proposal called the Tapered Issuance Burn.
The proposal would burn a growing portion of validator issuance rewards as the share of ETH committed to staking increases. Issuance-based rewards could eventually approach zero if approximately 50% of Ethereum’s supply becomes staked.
EIP-8361 remains a draft and has not been approved for implementation. However, traders appear to be pricing in its possible effect on liquid-staking providers.
Lower Ethereum staking rewards could make products such as Lido’s stETH less attractive. Reduced demand could affect the protocol’s total value locked, fees and DAO revenue.
Critics participating in the Ethereum Magicians discussion warned that lower rewards could force higher-cost solo validators out before large providers that can spread expenses across thousands of validators. The proposal’s authors argue that ending issuance incentives beyond a 50% staking ratio would limit ETH issuance and reduce the risk of excessive staking concentration.
NEST vote links Lido revenue with LDO
Lido DAO opened the final on-chain vote for its NEST automated buyback and liquidity system on Aug. 5. The main voting phase will close on Aug. 8 at 2:00 p.m. UTC.
NEST, short for Network Economic Support Tokenomics, would allocate part of Lido’s eligible revenue surplus to LDO purchases and DAO-owned liquidity.
The proposed mechanism uses a $40 million annual staking-revenue baseline. When daily revenue exceeds the equivalent baseline, 50% of the eligible surplus can enter NEST, subject to a $50,000 daily limit and a rolling annual cap of $10 million.
Under the initial LP configuration, half of the eligible budget would purchase LDO through CoW Swap. The other half would be converted into wstETH and paired with the acquired LDO in a Curve liquidity pool.
Lido DAO would retain ownership of the resulting liquidity-provider tokens. The purchased LDO would not be burned.
A previous Snapshot vote approving the final NEST design passed with 52.37 million LDO, or 94.5% of participating tokens, in support.
LDO price remains below key resistance
The daily chart shows that LDO recovered after briefly falling to $0.2751. The resulting lower wick indicates that buyers entered near the $0.275–$0.280 support area.
However, price remains slightly below the lower Bollinger Band at $0.2946. The Bollinger midpoint at $0.3577 is well above the current price, while the upper band sits near $0.4208.
Daily RSI has fallen to 37.57 and remains below its signal average of 53.56. The reading shows that bearish momentum has weakened the July uptrend, although LDO has not yet reached deeply oversold territory.
A close below $0.275 could expose $0.250 and the June low near $0.235. Conversely, reclaiming $0.305 would mark the first recovery signal. LDO would then face resistance around $0.320–$0.330 and the Bollinger midpoint near $0.358.
The NEST vote provides a potential token-value mechanism, but its future buying capacity depends on Lido producing sufficient staking revenue. That leaves EIP-8361 and the wider Ethereum staking debate as key risks for LDO holders.
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