Coinbase listings usually impact the prices of low-volume altcoins. However, yesterday, VET was an exception. The listing news, supported by the relatively optimistic market sentiment, caused a 12% price increase. While the recovery is exciting, it is still early to celebrate as the $0.016 region has not been secured yet. Convincing closes above this region are needed for a clearer upward trend.
Although the price briefly fell below the $0.016 horizontal region in June, it quickly reclaimed the area. With the recent movement, expectations for a strong recovery are gaining strength. As long as VET Coin stays above this region, a rapid ascent may continue.
Current Analysis of VET Coin
The current situation on the chart suggests that the optimism about the preservation of the current region is not very realistic. There is a risk of falling below the region again, which may prompt VET to make a move to reclaim the critical area after a pullback. However, if the selling pressure intensifies, we may see the price drop to the next support level of $0.010, which would mean a 35% loss.
The weekly RSI provides a mixed reading. While the indicator is still below 50, it is also creating a higher low by moving upwards.
Meanwhile, the double bottom formation supported by the RSI suggests an impending sharp upward movement. To confirm the formation, VET needs to break the descending resistance line that has been in place since early July. Since this line coincides with the $0.016 horizontal area, closes above it are of critical importance.
In a positive scenario, we may see an 85% increase, while if the region is lost, we may witness a 35% decline as mentioned above.
