Connect with us


Will VeChain succumb to crypto winter despite increased testnet activity



Can this update provide warmth to VeChain investors anytime soon? 
Source: StockAI

  • VeChain registered an increase in activity on its testnet 
  • Development activity was up, but market indicators were bearish 

VeChain [VET] revealed an interesting development that reflected the increased adoption and popularity of the network. As per VeChain Community Hun’s tweet on 12 December, the network witnessed a spike of unusual activity on its Testnet, as its number of transactions went up sharply. 

Read VeChain’s [VET] Price Prediction 2023-2024

The network went through a few more integrations and partnerships, thus, carrying the potential to drive a new bull run for VET. For instance, Shanghai Tanlian developed a digital carbon emission reduction platform for public building lighting based on the VeChain, in collaboration with Suzhou Fenghe Wulian. 

However, at the time of writing, nothing reflected on VeChain’s chart, as it was mostly painted red. According to CoinMarketCap, at the time of writing, VET registered over 3% negative weekly gains and was trading at $0.01859 with a market capitalization of more than $1.3 billion. 

Can the metrics help?

Over the last week, VeChain’s development activity went up, thanks to the new collaborations. This was a positive uptick as it reflected more effort from the developers to improve the capabilities and offerings of the blockchain. Not only that, but VeChain also maintained consistency in terms of volume in the past week. This was also a green flag.

However, after registering a spike, the network’s positive sentiments went down. This indicated that the crypto community had little faith in VeChain. The blockchain also did not receive much interest from the derivatives market as its Binance funding rate decreased. 

Source: Santiment

The VeChain winter will get colder

A look at VET’s daily chart revealed that the investors might have to wait longer to enjoy the results of the aforementioned developments. This was because most market indicators did not support a price surge. The Exponential Moving Average (EMA) Ribbon revealed a bearish advantage in the market as the 20-day EMA was resting below the 55-day EMA.

The Chaikin Money Flow (CMF) and On Balance Volume (OBV) also registered downticks, suggesting a further downtrend in the days to follow. 

Read the best crypto stories of the day in less than 5 minutes

Subscribe to get it daily in your inbox.

Please select your Email Preferences.

Ser Suzuki Shillsalot has 8 years of experience working as a Senior Investigative journalist at The SpamBot Times. He completed a two-hour course in journalism from a popular YouTube video and was one of the few to give it a positive rating. Shillsalot's writings mainly focus on shilling his favourite cryptos and trolling anyone who disagrees with him. P.S - There is a slight possibility the profile pic is AI-generated. You see, this account is primarily used by our freelancer writers and they wish to remain anonymous. Wait, are they Satoshi? :/

Click to comment

Leave a Reply

Your email address will not be published.

Disclaimer: AMBCrypto's content is meant to be informational in nature and should not be interpreted as investment advice. Trading, buying or selling cryptocurrencies should be considered a high-risk investment and every reader is advised to do their own research before making any decisions.