VeChain Price Prediction: VET might retrace 18% before establishing new uptrend
- VeChain price rallied close to retest of the range high at $0.153 but came up short.
- An 18% retracement that tags the trading range’s midpoint at $0.106 seems likely before a new leg-up.
- The resulting upswing from $0.106 could propel VET through $0.153 and tag $0.172.
VeChain price is hovering just below a crucial resistance level after its recent run-up. Due to the lethargic nature of the cryptocurrency market, VET might retrace before heading on a new uptrend.
VeChain price faces a tough decision
VeChain price rallied 40% from August 12 through August 16 as it set up a swing high at $0.145, just below the range high at $0.153. Although a sweep above $0.153 would have been a better scenario, investors can expect a retracement before the next leg-up.
The pullback has two support levels at $0.122 and $0.116, where the buyers can make a comeback, with the last line of defense being the 50% Fibonacci retracement level at $0.106.
A resurgence of buyers at any of these levels will propel VET to slice through $0.122 and take another jab at tagging the range high at $0.153.
If the bulls produce a decisive 12-hour candlestick close above $0.153, it will indicate an increased bullish momentum and open the path for further gains.
In an optimistic case, VeChain price might rally another 12% to retest the $0.172 resistance barrier.
VET/USDT 12-hour chart
On the flip side, a breakdown of the $50% Fibonacci retracement level at $0.106 will indicate a weakness among buyers. However, if the selling pressure pushes VeChain price to shatter the $0.095 support barrier, it will invalidate the bullish thesis and, in some cases, catalyze a 17% downswing to $0.079.
Author
Akash Girimath
FXStreet
Akash Girimath is a Mechanical Engineer interested in the chaos of the financial markets. Trying to make sense of this convoluted yet fascinating space, he switched his engineering job to become a crypto reporter and analyst.
