VeChain token noted a fake breakdown and trapped the sellers near the demand zone this week. It has sharply reverted from the $0.02000 mark and made a hammer candlestick known for a bullish reversal.
Following the price reversal, the token has re-entered into the range and retained the 20-day EMA mark. Still, the VET token was in a downtrend and attempted to cross the range’s upper cluster of $0.02800.
Once the VET price crosses the $0.02800, it may trigger a sharp recovery and reach the $0.03000 mark shortly. However, the sellers have made their paws hard around the 200-day EMA, which is the make-or-break level.
Until the 200-day EMA zone was not crossed, the token remained in the bearish region and continued to consolidate in the downtrend.
At press time, the VET price traded at $0.02637 with an intraday surge of 3.36%, reflecting neutrality on the charts. It has a monthly return ratio of -15.30% and 30.20% yearly, reflecting short-term consolidation.
The pair of VET/BTC is at 0.000000454 BTC, and the market cap is $2.14 Billion. Analysts are neutral and suggest the VET price may register a range breakout and reach the upside mark of $0.03000 soon.
VeChain (VET) Bulls Are In Hope
Its price action signifies that sellers have been trapped at the bottom and tried to secure the gains, which might trigger a short covering move ahead. Additionally, the token exhibited a healthy correction and could trigger a range breakout soon.
VET Price Volume Profile | Source: Santiment
The Relative Strength Index (RSI) curve placed near 50, close to the midline region, and plotted a bullish crossover, highlighting the buyers’ traction.
On analyzing over 26 key indicators, 7 indicated a sell rating, 10 were neutral, and 9 guided a buy call.
This relates to the mixed cues and indecisiveness between the bulls and bears. Interestingly, the token was consolidated near its demand zone, and buyers have persisted in accumulation, but a meaningful reversal has yet to come.
Weighted Sentiment Revealed a Spike
The weighted sentiment data showed a notable rise and reached the positive region, noted at 1.393, highlighting that its holders are hoping for good news ahead.
Development Activity Data | Source: Santiment
Similarly, the development activity data showed an upmove of over 12% this week, highlighting the growth potential of the token is intact.
@WorldOfCharts, in his tweet, said that VeChain cleared the primary hurdle but still did not cross the trendline hurdle.
A Tweet by WorldOfCharts | Source: X
Social Dominance Data Showed a Decline
On the social front, investors have decreased their activity on social media platforms. It led to a decline in the social dominance data, which was noted at 0.149%, revealing a declining interest.
Social Dominance Data | Source: Santiment
Similarly, the open interest data showed a flattish change over 1.20% on the long side, noted at $30.96 Million in the past 24 hours.
As of now, the short liquidations were stable at $6k, while the long liquidations were $3.97k, signifying equal weighted data. Neither the bulls nor the bears have maintained their upper hand.
The immediate support levels for the VET token are $0.02500 and $0.02300, whereas the key upside hurdle is around $0.02780, followed by $0.03000
All In All
The VET token price retained the 20-day EMA mark and was trying to escape the closed range at press time. Once it triggers a range breakout, it could deliver a massive upmove toward the $0.03000 mark.
