- Vechain may see longer term trend reversal in 2023
- VET approaching fresh all time low again, supertrend generated fresh sell signal, whereas RSI at neutral levels
- Vechain lost previous week gains, despite of negative clues, bulls struggles to defend $0.01750
Vechain prices have been reversing downwards with mild bearish cues, after hitting 2 year-low at $0.01796 bulls had shown some recovery but again price may attempt to test the lower levels. In the previous few sessions prices went completely sideways indicating buyers are not ready to lose the battle near 2 years low.
Higher time frame narrative
On a higher time frame, VET prices had been trading sideways from the past couple of months in the range between $0.02082 to $0.02844. In August prices gained some upside momentum and bulls succeeded to breakout $0.02844 but unfortunately prices were unable to sustain the higher levels and faced strong resistance at supply zone $0.03399 which dragged the prices back to previous consolidation zone.
Later, the Vechain bulls attempted again to break the higher levels but due to FTX collapse, VET prices had seen massive selling pressure and slipped below the lower range of $0.02082. Currently, prices have taken support at $0.01749 and are showing some sideways movement. The 50 day ema at $0.02504 (pink) and breakdown level $0.02082 will act as immediate resistance for bulls in coming days followed by next hurdle will be $0.02844
Lower time frame narrative
In the smaller time frame, VET/USDT prices look similar to the larger timeframe, but here, recently the supertrend has generated fresh sell signals which indicates prices may remain in a bearish grip for a few more weeks.
The important support zone will be $0.01749, till prices are sustaining above the support level, The fresh short positions should be avoided. On a higher side, $0.02082 will be a hurdle for bulls, but if the price breaks out at $0.02082, we may see some positive momentum towards $0.02396 and $0.02844. So, currently prices are expected to trade in a sideways direction.
Relative strength
RSI at 42, ointing downwards indicates prices may remain weak for the short term, but if RSI slips below 40 we may see some responsive buyers enter the market and push the price higher.
Summary
After analyzing the prices with multiple indicators, VET price level seems to be in a downtrend and there is no sign of upside reversal visible in the charts. However, if VET bulls successfully demonstrate a breakout in the short-term resistance placed in charts above, we may see a trend reversal which will take the price level to $0.05000 and 0.10000
Technical levels
Resistance levels : $0.02844 and $0.03399
Support levels : $0.01749 – $0.01500
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational ideas only, and they do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.
Andrew is a blockchain developer who developed his interest in cryptocurrencies while his post-graduation. He is a keen observer of details and shares his passion for writing along with being a developer. His backend knowledge about blockchain helps him give a unique perspective to his writing
Source: https://www.thecoinrepublic.com/2022/12/12/vechain-price-prediction-vet-took-support-near-the-2-year-low-of-0-01796/