Can VET climb past the $0.1 mark in the weeks to come
Disclaimer: The findings of the following analysis are the sole opinions of the writer and should not be considered investment advice
VeChain has not had an inspiring performance on the charts in the past few months. It broke out past the $0.1 mark in October but has retraced all those gains and then some as it stooped to find support at $0.044. Now, the crypto asset was gearing up for another attempt at climbing above $0.1 on the charts.
VET has broken the bearish market structure on the daily chart in the past few weeks. The previous downtrend (purple) had its most recent lower highs at $0.057 and $0.07 (dashed white). VET has broken past both these levels in the past two weeks.
Alongside breaking the lower highs, the price had also set a series of higher lows as it found support at the $0.044 level. This was encouraging from the standpoint of the bulls.
At the time of writing, the price has broken out past the $0.076 level and flipped it to support. It appeared to have some resistance at the $0.0844 and $0.097 levels. Trading volume has been quite high as VET broke the previously bearish market structure, which showed some conviction from the buyers.
The indicators were also on the bullish side. The RSI had been beneath the neutral 50 line for the most part, ever since VET embarked on a downtrend in mid-November. In the past two weeks, however, the price has broken above the neutral 50 line, and has succeeded in climbing as high as 79. This denoted strong bullish momentum.
At the time of writing, the RSI was receding toward neutral 50, but this was likely an indication of the bulls gathering steam for yet another push higher. The OBV was also just below a level of importance and has shown strong buying pressure in the past month.
The market structure for VET on the longer timeframes looks bullish, and there was also evidence of good buying pressure. This could see VeChain climb toward, and past, the $0.1 mark in the weeks to come.