VET’s price has reclaimed $0.030, signaling a possible breakout rally up to $0.060. Open interest data for derivatives shows that there is a bullish trend, as it has increased by 5.75%.
The top crypto coins continue to rally and the market capitalization of all cryptocurrencies has risen to $3.44 billion. VeChain The 200-day EMA is surpassed by a huge surge of 8.58%. VeChain, with this comeback in the bullish direction, hints that a possible head-and shoulders pattern is being formed, targeting an increase above $0.060.
VeChain Price Analysis
VeChain price movement on the daily chart shows a bullish head-and shoulders pattern with the neckline at $0.0327. The key resistance level is the Fibonacci 23.60% level.
VeChain has formed its third consecutive candle after the breakout of 200-day EMA. VET is trading currently at $0.030. This psychological price level has been reclaimed.
The daily RSI crosses the 14-day SMA and bounces back off of the half mark as the trend gains strength.
VeChain’s growth has a lot of room to grow, as the RSI is pointing upwards. The 200-day EMA’s breakout also increases the probability of an upward trend in the 50 and 100 day EMA lines. This could lead to a crossover.
Fibonacci values indicate that the breakout of a possible pattern will surpass the Fibonacci level 61.80%, which is $0.055. Estimated by adding pattern depth to breakout point. It suggests an 88% increase to $0.061.
The 50-day EMA could be retested at $0.027 if, on the other hand, the altcoin is unable to surpass the Fibonacci 23.6% level.
VET Derivatives Supports Bullish Bias
VeChain’s derivatives market has seen a major boost amid the recent surge of bullish pressure. The open interest has risen by 5.75 %, to $86.47 millions. The funding rate is also stable at 0.010%. This indicates a consistent bullish intention.
Binance’s traders have become more optimistic about VeChain after the recent surge in price. CoinGlass statistics show that according to 64% Binance traders trading perpetual VET USDT contracts, the altcoin is a bull.
Based on these accounts, this represents a ratio of 1,82. VeChain could experience a leveraged rally with this bullish overall bias.
However, the traders must be cautious as 35% short positions may command more capital and undermine long bias.
DisClamier: Informational content only. This is not financial advice. The author may have expressed his or her personal opinion in the article. The Crypto Basic does not endorse this. Before making an investment decision, readers should do extensive research. Crypto Basic will not be held responsible for any losses.
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Source: thecryptobasic.com
