VeChain's 1.25% Price Uptick to $0.01876: All Key Takeaways for July 29, 2023

VeChain's VET token rose 1.25% over the past 24 hours to $0.01876. This marks a slight recovery after a period of weakness that has seen VET drop nearly 4% over the past week. The cryptocurrency now faces short-term resistance around $0.01950.

VeChain has been consolidating for most of 2023 so far after a brutal 2022 bear market. While down significantly from its 2021 highs, VET has outperformed Bitcoin and Ethereum over the past 6 months.

In our analysis, we'll examine VeChain's latest price action, on-chain activity, adoption metrics, and market outlook. Key highlights:

  • VET recovering after pullback to established support around $0.018
  • Trading volume declining as price stabilizes between $0.018-$0.020
  • Network usage and enterprise adoption growing steadily
  • Macro conditions determining short-term price action
  • Resistance around $0.01950, breakout needed to target $0.022

Is VeChain Building a Base for a Trend Reversal?

VeChain's VET token plunged in the 2022 crypto bear market, falling from a 2021 high above $0.20 to reach lows around $0.017 in June 2022. However, VET found a solid floor there and has since traded in a range between $0.017-$0.022.

Recently, VET pulled back to support around $0.018 after being rejected at resistance near $0.020. Trading activity has declined in tandem with the tightening price action, reflecting caution among traders.

However, on-chain data remains bullish. The number of VET transactions continues rising, reflecting growing adoption of VeChain's supply chain focused blockchain. Partnerships with major enterprises also underscore real-world usage.

If Bitcoin and the broader crypto market can maintain their recent uptrends, VET appears primed for a breakout. The key level to watch is the $0.01950 resistance zone. A decisive break above that would signal upside momentum is building.

Can VeChain Revisit Its All-Time High This Cycle?

VET hit an all-time high of $0.2782 in April 2021, driven by surging interest in enterprise blockchain applications. However, VET has lost over 90% of its value since then, as crypto euphoria evaporated in 2022.

While crypto conditions have improved off the lows, sentiment remains fragile. For VET to revisit its peak this cycle seems unlikely without a dramatic shift in market dynamics and investor risk appetite.

However, if $0.01950 resistance gives way, VET regaining its 2022 high near $0.08 appears feasible. For traders, a break above $0.025 would be the first confirmation that bullish momentum is building.

Strong execution and expanding adoption of VeChain's blockchain within supply chains would also be required. But with crypto poised for growth, long-term holders should focus on VET's promising use cases rather than short-term price swings.

Conclusion

Should I Buy VeChain After its Recent Pullback?

VeChain looks attractive following its cooldown back to strong support around $0.018. This level has been reliably defended all throughout 2022 and 2023 so far, making it a solid accumulation zone.

However, traders may want to wait for a break above $0.0195 before going long. That would provide confirmation that VET is ready to climb higher once again from its trading range.

Long-term investors could buy around $0.018 and below. While volatility persists, VeChain's blockchain activity and real-world adoption continue growing - underpinning its long-term investment case.

How High Can VeChain Go Long-Term?

Given VeChain's promising supply chain use cases and steady adoption growth, a return to its all-time high above $0.25 seems achievable long-term. This would require around a 15x gain from current levels.

However, capturing VET's full potential relies on blockchain and crypto becoming mainstream within enterprise IT systems globally. If this materializes over the next 5-10 years, VET could rise significantly higher than $0.25. But have patience, and stick to a long-term mentality when investing in this space.

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