VeChain (VET) Price Increases 62% From November Low, Signals Start of Bull Phase

Key Takeaways

• VET broke out of a descending channel, signaling bullish momentum.
• The next uptrend target lies at the 1.618 Fib, $0.0487.
• Key support levels are $0.028 and $0.026 for corrections.

VeChain (VET) has recently demonstrated strong momentum following a prolonged correction. After peaking at $0.055 in February 2024, the price entered a descending channel, eventually bottoming out at $0.0188 in August.

The price has since rebounded, breaking out of the descending channel and surging past key resistance levels. Most notably, VET reclaimed the 0.5 Fibonacci retracement at $0.033, signaling renewed bullish sentiment.

However, recent price action suggests a potential corrective phase as the market consolidates before its next move.

VET Price Analysis

The daily VET price chart shows a completed five-wave impulsive structure, peaking at $0.055 in the final wave five on Feb. 28.

Following this peak, the price entered a corrective phase that unfolded within a descending channel. This correction reached key Fibonacci retracement levels of 0.786, even dipping slightly below it, reaching a low of $0.0188 on Aug. 5

At first, a horizontal range formed up to a resistance of $0.026, established on Aug. 22. After another pullback, a breakout from the descending channel recently occurred, signifying a shift in momentum. 

However, another retest of the zone’s lower level occurred on Nov. 4 before we saw a decisive upward move. The price quickly surged, reclaiming key resistance levels, including the 0.5 Fibonacci retracement at $0.033.

This suggests renewed bullish sentiment and a potential start to a new impulsive wave if the momentum sustains.

VET Price Prediction 

Zooming into the hourly chart, we see that VET has completed a clear five-wave upward structure to a high of $0.034 today, Nov. 18. An immediate pullback occurred, further hinting at a potential trend shift.  

Currently, VET appears to be entering a corrective ABC structure, with wave A projected to retrace toward the 0.382 Fibonacci level at $0.028, followed by a wave B relief bounce before completing wave (C near the 0.618 Fibonacci level at $0.024.

This would align with a typical correction scenario following a strong impulse wave.

The descending triangle from earlier in the chart is visible, and the breakout above it has confirmed the preceding uptrend. 

Key Levels to Watch

1. Uptrend target: The 1.618 Fibonacci extension, $0.0487, serves as the next potential target high
2. Support Levels: Initial support lies at the 0.382 Fibonacci retracement at $0.028, with further downside targets at $0.024 (0.618 Fib).
3. Continuation Signals: A sustained move below the 0.786 Fib at $0.022 could invalidate further upward momentum, suggesting a deeper correction.

About the Author

Nikola Lazic

Nikola Lazic is a cryptocurrency analyst and investor working in the industry since 2017. He holds a bachelor's degree in Sociology, which enables him to better understand the psychology behind the crowd´s positioning. Consequently his preferred analytical tool is Elliott Wave Theory in combination with price action analysis. Combining his experience in trading and investing with knowledge in content writing he strives to bring the most accurate and actionable information. Expertise: Cryptocurrencies, Technical analysis, Elliott Wave Theory, On-chain metrics, Research reports.

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