Key Takeaways
Virtuals Protocol (VIRTUAL) kicked off 2024 with an extraordinary rally, surging over 2,700% to reach an all-time high of $5.14 on Jan. 2, solidifying its position as one of the year’s standout performers.
However, 2025 has brought a stark reversal, with the price plunging 55% from its peak. Long-term indicators also show bearish divergences, signaling that the bullish momentum may have run its course.
Is a VIRTUAL recovery still possible, or is the price poised for further decline this year? Let’s take a closer look.
The VIRTUAL price increased by nearly 27,000% since July 2024 while suffering minimal pullbacks. The rally became completely parabolic in November, and the price reached a new all-time high of $5.14 in the first week of January 2025.
However, things have turned sour since. After its all-time high, VIRTUAL fell to a low of $2.31, losing over half its value. The next closest support is at $1.60, so it may be a while before VIRTUAL can halt its decline.
The wave count also shows a completed five-wave increase (white) since July 2024. If the count is accurate, VIRTUAL has begun its lengthy correction.
Finally, the Relative Strength Index (RSI) and Moving Average Convergence/Divergence (MACD) also suggest the price has reached its cycle high. The RSI generated a bearish divergence in overbought territory, while the MACD made a bearish cross for the first time.
So, the VIRTUAL price may have completed its bullish cycle and started a lengthy bearish trend.
The short-term outlook does not offer any hope for relief. On the contrary, VIRTUAL has broken down from a descending parallel channel that had contained the correction since the all-time high. The downward movement has become sharper since the breakdown.
While there is minor support at $2.05, neither the RSI nor MACD have generated any bullish divergences. On the contrary, both are falling, suggesting bears are in control, and the price will continue falling for the time being.
Because of the bearish readings and lack of support, VIRTUAL could fall to $1.60 without experiencing any significant bounces.
While the VIRTUAL price was one of the best performers in the second half of 2024, its fortunes have turned in 2025. VIRTUAL may have reached its cycle high and could be corrected for the first half of 2025.