Vechain price sees bulls preparing for new all-time highs

Vechain (VET) price is experiencing a bullish breakout from the pennant formation that started on November 9. The uptrend got supported by the purple ascending trend line and saw price action bushed above the historical $0.15 pivotal level. Expect Vechain bulls to push for new all-time highs, but with the Relative Strength Index being overbought, further upside should be muted.

Vechain price still holds some gains as long as bulls refrain from profit-taking

Vechain price sees a solid bullish move on Monday as buyers can push VET price out of the pennant towards the monthly R2 resistance level. New all-time highs are in the grasp, but this could go two ways as the Relative Strength Index is very close to being overbought. In the first scenario, bulls got the push for a quick new all-time high, dragging the RSI into overbought and thus limiting further upside set off with a quick fade back towards $0.16.

VET price could, however, also see a more profitable scenario where Vechain price keeps respecting the purple ascending trend line and instead goes for the slow grind higher. This would see the RSI slowing down or even dipping towards more neutral as the uptrend keeps going. Buyers would need to be more patient, but this strategy would open the door for $0.20.

VET/USD daily chart

If bulls keep grinding it alongside the purple ascending trend line, VET price could fall out of line a few times. But similar to that move, the green ascending trend line is still there for support. So if there is a bearish breakout, expect the green ascending trend line to act as second support alongside and see bulls still in their uptrend, even if there is a bearish short-term setback.