The VeChain price has stagnated in the past few days. The VET price is trading at $0.1177, which is in the same range where it has been in the past few days. The price is about 44% above the lowest level this month. It has a market capitalisation of more than $7.56 billion, making it the 24th biggest cryptocurrency in the world.
At its peak, VeChain was one of the most popular cryptocurrencies in the world. Recently, however, the digital currency has lost momentum. Indeed, a quick look at Google Trends shows that the number of searches for VeChain in Google and other search engines has plateaued in the past few weeks.
The VeChain price action is mostly because of the ongoing consolidation in the blockchain industry after the first cryptocurrency ETF was accepted in the United States. Other companies like Ark Invest and VanEck will also likely launch their funds.
Therefore, with this news done and dusted, analysts are now waiting for the next key catalyst.
For starters, VeChain is an Asian blockchain project that enables developers to build decentralized applications. It is relatively popular among companies in China, including Luis Vuitton, BMW, and Walmart.
The four-hour chart shows that the VeChain price has been moving sideways recently. Along the way, the coin has formed an inverted head and shoulders pattern whose neckline is shown in blue. The price is also consolidating at the 25-day and 50-day moving averages. It is also at the right shoulder.
Therefore, while it is too early to tell, the price will likely break out higher in the near term. This bullish view will be invalidated if the price manages to move above the neckline at around $0.1300.
On the flip side, a drop below the support at $0.1100 will invalidate the bullish view.
This post was last modified on Oct 19, 2021, 09:28 BST 09:28