LDO, along with other LSDs, was being brutally battered. It briefly broke its 5-month-long support before quickly reclaiming it, resulting in the break being marked as a deviation. Regardless, LSDs have been experiencing a solid bid since 12 May, and the long unstaking queue is thought to have been the reason behind it.

Although the governance tokens themselves confer little to no benefit to their holders, the fact that they can be used as a proxy to bet on the success of the protocol is enough for them to experience price appreciation.

In a market starved for narratives, it shouldn’t surprise anyone if this sector has a few more legs in it.