The Vechain (VET) crypto price has recently been exhibiting extreme bullish momentum. It is currently teetering on its last significant support cluster and forming a bullish pattern based on supply and demand dynamics. To understand the current situation, let’s look at the price chart below. Despite the bullish momentum, the price remains susceptible to many downside risks, so it’s important to stay alert. Keep reading to learn how to trade vet crypto profitably.
Vechain (vet) price is showcasing extreme bullish momentum
VeChain (VET) price is preparing to fall after a failed rise. Despite being in a bullish momentum, the VeChain market is showing extreme bearish momentum. Last week, the price reached a new high of $0.28 before plunging more than 80% to a support level of $0.06. This week, the price bounced off that support level and rallied to reach a high of $0.14. It then fell back down to the support level of $0.06, indicating that the market is preparing to lower its position.
Earlier, we observed that VET price exhibited extremely high ranges due to a huge influx of liquidity. However, the buying volume has lowered significantly since early trading hours. Hence, the sellers are doing their job well and a minor pullback may be expected in the next few days. In any case, this asset may jump into action once it has broken key psychological resistances.
It is teetering on last meaningful support cluster
VeChain (VET) is a relatively quiet coin, at least up until late December 2020. The coin reached its peak in April 2021 and then plummeted by more than 80% in the months that followed. It hit a low of $0.050 in July, and since then, has exhibited ups and downs, never getting above $0.176. This suggests that VET may not be a pump-and-dump, and that it will continue to follow the general trend in the industry.
In the short-term, there is a low probability that VET will test the $0.030 level, a level where more bulls could be enthroned. The long-term VET price prediction remains bullish, although it isn’t yet possible for VET to break out of a new all-time high, which is currently at $0.2782 according to CoinMarketCap. Such an event would be possible only if VET manages to break its previous psychological resistances.
It is forming a bullish pattern
VET token price is in a strong uptrend on the daily time frame. It has recently formed a bullish pattern called roaming falling wedge. Moreover, the VET price has gained 1.41% in the last 24 hours. A bullish pattern means that the token will rise by as much as the previous measured value. The price of VET may even hit $0.83 in the coming days, or even reach new highs.
VeChain (VET) is poised for a parabolic move. The crypto has already formed a massive bullish Cup & Handle pattern and increased volume. Justin also captioned the chart for illustration. VeChain has completed a 4.618 Fib extension and a bullish Cup & Handle Pattern. It is likely to consolidate a bit before taking off.
It is based on supply and demand dynamics
The supply and demand of cryptocurrencies affect the price of a particular cryptocurrency. For instance, the price of VET is influenced by recent fundamental events such as the adoption of a new protocol, government regulation, and a hack of a cryptocurrency exchange. These factors affect the price of the cryptocurrency, and the market cap of a given currency can change dramatically in a short period of time. In other words, the price of VET depends on the supply and demand dynamics in the cryptocurrency industry.
There are several indicators that can be used to predict the future price of VET. The most widely used indicators are the 50-day, 100-day, and 200-day moving averages. Any price movement above these moving averages is considered a bullish sign, while a decline below these moving averages indicates weakness in the VET market. Other indicators commonly used by traders include RSI and Fibonacci retracement levels.
It could reach $20 in five years
If VeChain reaches its price target in 2021, its demand will be skyrocketing. That means that the crypto price of Vet is likely to rise as well. The future of VET looks bright; in the near future, its price could reach as high as $20. And five years from now, it might reach even more. But how does this affect the current price of Vet? Will it continue to climb?
The VeChain ecosystem has grown considerably since the token swap in 2018. The coin price could go as high as $0.056 by the end of 2022. In the short term, it could even bullish to $0.05. However, investors should bear in mind that these predictions are subject to general crypto market movements, including the price of Bitcoin. And even if the prediction is true, it could be based on too much hype.