VeChain has been able to preserve its current levels as the crypto market loses steam. The sector has seen a recent bullish price action which has led the price of VET and other digital assets to a yearly high.
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At the time of writing, VeChain (VET) trades at $0.083 with a 13% and 80% profit in the last day and 30-days, respectively, according to data from CoinGecko.
VET with bullish momentum on the 4-hour chart. Source: VETUSDT Tradingview
Two weeks ago, NewsBTC reported a potential 40% rally for VeChain. Based on an analysis from Justin Bennett, the cryptocurrency was on the brick of breaking above a trend line which signaled potential appreciation.
This trend line marked the beginning of a multi-month downtrend, and its reversal could take VeChain into the $0.10 price point. Therefore, Bennett called this move “significant in terms of the overall context of the market”.
VeChain is yet to complete its full bullish trajectory into the $0.10 levels and beyond. However, it did manage to score a 90% rally, according to Bennett, destroying the market expectations of further downside:
VET is the same project everyone on CT said was dead for months. +97% in 16 days is quite the move for a “dead” coin. Let that be a lesson for anyone who jumped on the CT bandwagon. Peak pessimism amongst the masses usually means a buying opportunity isn’t far away.
The $0.080 point will be critical to determine if VeChain can sustain its current momentum. If these levels hold, VET’s price could appreciate further and return to its pre-crash levels from $0.10 to $0.14.
VET’s price breaking above a downside trendline. This suggests more appreciation. Source: Justin Bennett via Twitter
Data from Material Indicators (MI) suggest potential resistance at VET’s price current levels. There are over $2 million in asks orders above the $0.080 mark which could operate as resistance.
As seen below the most important level to break is $0.90 which holds the majority of asks orders. Above this price, there is little resistance.
VET’s price with resistance (yellow and red above price) at current levels. Source: Material Indicators
Will VeChain Continue To Appreciate?
Additional data provided by Material Indicators (MI) suggest retail investors (orange in the chart below) have been buying into VET’s price recent price action. In the meantime, investors with larger orders (in green and red in the chart, with selling orders between $1,000 to $10,000) began selling.
VeChain has sustained its momentum because investors with bids orders of around $100,000 (purple in the chart) have been continuously supporting its price. If this investor class continues to support VET, the price can stay at its current levels or trend to either side.
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Retail investors buy, but purple seems to dominate and dictate momentum.
Investors with $100k bid orders sustain current momentum as other investor classes (red and green) sell. Source: Material Indicators