VeChain (VET) has broken above a long-term descending trendline, signaling a potential shift in momentum, according to a technical analysis highlighted by crypto analyst World Of Charts. The asset’s price, however, remains in a neutral, range-bound state, with key momentum indicators showing no strong directional trend. If VET can break through a critical horizontal resistance level with significant volume, the analyst suggests it could rally toward a $0.02 price target.
VeChain (VET) is moving in a downward direction as the general conditions in the crypto market have turned from bullish to bearish. According to CoinMarketCap, as of Saturday, April 18, the VET price has declined by 4.19% over the last 24 hours but remains up by 2.38% over the last week.
At the time of writing, VET is trading at $0.007171, with a trading volume of $24.14 million and a market capitalization of $616.61 million. Crypto analyst World Of Charts highlighted that VET has broken above a long-standing descending trendline, signaling a potential shift in momentum after extended bearish pressure. This breakout suggests sellers are weakening while buyers are gradually gaining control.
The next major hurdle comes in the form of a horizontal resistance area, which has historically acted as an important level. “A breakout above the horizontal resistance with a large amount of trading volume would likely result in VET being able to rally to the $0.02 target,” the analysis stated. However, a failure to break the horizontal resistance would probably lead to further consolidation.
According to TradingView, the Relative Strength Index (RSI) is standing at the level of 51, indicating neutral market conditions. Moreover, the current coincidence of the RSI and its corresponding signal suggests there is no definite momentum in price action.
Further, the Moving Average Convergence Divergence (MACD) also reflects this absence of a clear trend direction, with the MACD line moving near the signal line. Although there is a small bullish signal in terms of the histogram bars, their magnitude is insignificant. In essence, both indicators indicate that the asset is in a consolidation mode without any particular direction.
