- VeChain has broken above its 200-day EMA, signaling a bullish reversal with the potential for an 88% rally toward $0.061.
- Rising open interest and strong trader sentiment further support the breakout scenario.
VeChain (VET) is making headlines once again after decisively breaking above its 200-day Exponential Moving Average (EMA), signaling a potential bullish breakout that could send the token soaring by 88% to the $0.061 mark.
Currently trading at $0.030, VET has reclaimed this psychologically significant level and is showing signs of a major technical reversal. Over the past three days, VeChain has formed consecutive bullish candles, marking a strong comeback amid a broader crypto market upswing. The total crypto market capitalization now stands at a staggering $3.44 trillion, with top coins fueling renewed investor optimism.
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A key bullish pattern—the inverted head-and-shoulders—is beginning to take shape on the daily chart. The neckline, positioned near the $0.0327 resistance, aligns with the 23.60% Fibonacci retracement level. A breakout above this point could pave the way for a rally toward the 61.80% Fibonacci level at $0.055, and ultimately target $0.061 based on pattern depth—an 88% potential gain.
Technical indicators support the bullish thesis. The Relative Strength Index (RSI) has bounced above the 14-day Simple Moving Average (SMA) and is rising, indicating growing momentum without yet entering overbought territory. Moreover, the recent EMA crossover prospects suggest a strengthening uptrend, should the 50- and 100-day EMAs follow suit.
The derivatives market also echoes bullish sentiment. VeChain’s open interest rose 5.75%, hitting $86.47 million, while the funding rate held steady near 0.010%—a strong indicator of buyer confidence. CoinGlass data reveals that 64% of Binance traders are betting long on VET, yielding a long-to-short ratio of 1.82.
Still, caution is warranted. Around 35% of traders hold short positions, potentially with significant capital backing, which could pose a threat to bullish momentum in the short term.
VeChain’s technical breakout and rising derivatives data point to a potential rally. If VET breaks the $0.0327 neckline, bulls could take charge and aim for $0.061. However, market watchers should stay vigilant for any signs of reversal.