Key Takeaways:
- VeChain price looks to begin an uptrend despite reversal from its recent six-month high.
- The network’s scheduled to upgrade to VIP214 on Nov 16.
NEW DELHI (CoinChapter.com) — VeChain’s native token, VET, seems to have entered a phase of bullish consolidation following its pullback from $0.1898, a price level last seen half a year ago on May 14.
Moreover, VeChain’s blockchain-related supply chain solutions may come in handy in solving the supply chain crisis facing the global economy. As such, the price of VET would likely see further upside.
VeChain bulls remain motivated by optimistic forecasts from crypto analysts, who predict a new high for VET by late 2021 or early 2022. Cryptoacademy founder and technical analyst Justin Bennett shared a forecast in Oct, predicting a $1.60 price level for VET by Dec 2021.
Another crypto trader, Sheldon The Sniper, suggests investors should buy and hold the VeChain token for the last quarter of 2021. Moreover, the analyst suggests a price target between $1.34 to $2.158. If the predictions come true, a move to $2 would mean a gain of nearly 1,100% for traders.
Meanwhile, VeChain’s upcoming hardfork, VIP214, would help increase the network’s security and performance.
VeChain’s Upcoming Update
The VIP214 hardfork is part of the PoA2.0 consensus update. As it intends to improve VeChain’s efficiency, the upgrade would likely help VeChain gain more adoption. The platform describes its latest update as being the first of its kind in the world.
PoA2.0 combines two different blockchain mechanisms, Byzantine fault tolerance, and Nakamoto Consensus mechanism, to create a new mechanism. In detail, the Nakamoto consensus involves miners competing to solve a cryptographic puzzle instead of using a block selection voting process.
The first miner (and his block) to solve the puzzle is accepted as valid across the entire network of miners. Byzantine Fault Tolerance is a consensus mechanism that enables a decentralized, trustless network to function adequately even with malfunctioning or malicious nodes in the network.
Also Read: VET bounces 20% in 24 hours as VeChainThor vows to beat Bitcoin on climate friendliness.
PoA2.0 would help ensure data integrity and prevent accidental forking of the network. Furthermore, the latest VeChain upgrade would help avert branching in the network and protect it from data loss.
The testnet of PoA2.0 launched on Nov 5, while the mainnet is scheduled to go live on Nov 16 on block #10653500. The successful launch of PoA2.0 would likely lead to more gains for VET.
In other news, Binance.US, the US arm of the world’s largest crypto exchange, announced the listing of the VETUSD pair on its OTC platform. Additionally, the exchange also announced listing Dogecoin and Solana.
VeChain Price Charts
VeChain prices struggle to move above the $0.1650 mark, as sellers step in whenever VET moves above the key price level. On Nov 15, VET jumped 14.44% from the day’s low of $0.1565 to reach a high of $0.1791 before prices pared. If prices can breach and consolidate above immediate resistance at $0.1680, it could help revive bullish interests.
The next stop for VET bulls could be around the $0.1759 mark. After that, sustained buying interest in VET would see its prices reach $0.1859 before market corrections pull prices down.
Meanwhile, the VeChain token is bullish across all time horizons.
On the other hand, VET has support from the rising trendline and key support from the 26-day EMA line at $0.1490. The 26-day EMA support was earlier a strong resistance level for VET since the May 19 market crash. However, immediate support for the VeChain token is at $0.1549.
Also Read: VeChain eyes bull run towards $0.25 as VET triggers cup and handle pattern.
A break below key support at $0.1490 would see bulls trying to consolidate above $0.1427.
Meanwhile, trend-based momentum oscillator MACD charted a bearish crossover for VET on Nov 14. A bearish crossover occurs when the MACD line (difference between 12-day and 26-day EMA) moves below its signal line (9-day EMA of MACD).
The MACD histogram, which plots the difference between the MACD and the MACD signal lines, turned negative, indicating a reversal of VeChain’s momentum.
The 14-day relative strength index is moving laterally. However, the RSI trendline seems to be moving upwards towards the overbought levels. RSI is currently neutral, with a value of 61.95. A value above 70 would suggest VET might be ready for a trend reversal.
At the time of writing, VET was trading at $0.1653, up 2.60% on the day.
