OpenLedger Foundation to launch token buyback program

OpenLedger will be launching a token buyback program for its native coin OPEN. The project will be using corporate income to repurchase its tokens and reinforce liquidity.

According to a recent post on X, the OpenLedger Foundation announced plans to initiate a buyback program to support its native token, OPEN. The initiative will be directly funded using the foundation’s “Enterprise Revenue” stream.

“This buyback initiative will be powered by Enterprise Revenue. $OPEN will be repurchased from the market to reinforce liquidity, enhance confidence, and support sustainable growth across the ecosystem,” said the team through its X post.

Although the OpenLedger Foundation has yet to reveal when the buyback program will commence and how much the project will choose to invest, the AI blockchain firm claimed in a previous post in August that it has a $14.7 million revenue stream from global enterprise projects.

The project’s decision to start a token buyback program to boost the token’s liquidity and price mirrors similar initiatives in the crypto space that are ongoing. Just a day prior, Sui (SUI) announced that it would be teaming up with Ethena (ENA) to launch a joint stablecoin called SUIG, with its revenue being used to buyback SUI tokens.

Earlier in September, Multiple Network said that it would launch a token swap program for its corrupted MTP token and initiate a $1 million buyback program to repurchase its native token within the next 12 months.

Aster CEO Leonard also expressed a willingness for the project to start buying back its ASTER tokens using a “flexible” schedule that would be determined mostly by the operators and community. He said the team would like to “keep some flexibility on how all this income is being invested.”

OpenLedger price analysis

The announcement of OpenLedger’s buyback program sparked a sharp upward move for the token, jumping from $0.47 to $0.53 within just a few short hours according to TradingView data. This jump coincides with a surge in volume and a break above the 30-period moving average, signaling a shift in market sentiment.

The move suggests that traders view the buyback program as a bullish development, reinforcing confidence in the project.

OPEN’s 30-day Moving Average at $0.478 has been acting as a dynamic resistance during its prolonged downtrend from mid-September through the end of the month. This crossover signals a potential trend reversal, especially since the price is now holding above it with some stability

In addition, the Relative Strength Index has also climbed to around 64, showing bullish momentum without yet entering overbought territory. This indicates room for further upside if buying pressure continues. The RSI spike reflects renewed interest as investors anticipate that reducing circulating supply through buybacks will create a favorable supply-demand dynamic.

While the price reaction is showing strong signs of a rally, whether it sustains will depend on how aggressively and consistently the foundation executes the program. If momentum holds, OpenLedger’s token could test the $0.60 resistance zone, but failure to maintain buying pressure could see the token retest the $0.50 to $0.47 support region.

If OPEN can maintain its position above the $0.47 to $0.48 MA zone, it will strengthen the case for a sustained recovery fueled by the buyback announcement. On the other hand, a breakdown back below the MA would suggest that the rally will be quick to fade without further action.