VeChain [VET] fixated on the $0.02695 target – Is it feasible?

Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion

VeChain [VET] has steadily appreciated since the end of March – chalking an ascending channel. It rose from $0.01938 but hit the stiff resistance level of $0.02496. The above resistance level has blocked VET’s further uptrend momentum in the second half of March. 

Read VeChain [VET] Price Prediction 2023-24

Bitcoin [BTC] broke out and crossed $30K. Despite the expected US Consumer Price Index (CPI) data on 12 April, BTC continued consolidating narrowly above $30K – reinforcing the overall bullish sentiment. Any surge above $30K could set VET to overcome its key obstacle.

Can bulls clear the $0.02496 obstacle?

Source: VET/USDT on TradingView

At press time, VET had dropped to the ascending channel’s lower boundary of $0.02393. The above level doubles as a confluence area with the $.02379 support. As such, sellers may be cautious at this confluence area as bulls could gain entry into the market, especially if BTC surges beyond $30K. 

If BTC maintains above $30K regardless of the US CPI data highlights, VET could clear the hurdle at $0.02496. A close above $0.02496 and an uptrend confirmation may set VET to target at $0.02695 resistance level or the range of $0.02695 – $0.02870. 

A session close below the confluence area, particularly $0.02379, will invalidate the above bullish thesis. Such a move could attract more selling pressure, especially if BTC drops below $30K. The $0.02200 support could slow the drop. 

The Relative Strength Index (RSI) has been predominantly above the 50-mark – signaling increased buying pressure in the past few days. However, a cross below the 50 mark could confirm sellers’ leverage. Moreover, the Average Directional Index (ADX) chalked a ‘peak,’ which suggested that the uptrend momentum eased. 

Funding rate and sentiment improved

Source: Santiment

How much is 1,10,100 VETs worth today?

VeChain’s development activity has been rising since the beginning of April. At press time, it sharply increased – an indication of a consistent building. The trend can boost investor confidence in VET, as shown by the improved weighted sentiment. 

In addition, the funding rates have remained positive in the past few days – a bullish sentiment that could favor bulls. However, the recovery and subsequent uptrend may be delayed if BTC drops below $30K.