VEN continues to track well along a bullish descending wedge formation after falling below a key support at 37,500 Sats which has now flipped into an important resistance level.
The flipping of the support has been critical in confirming the general pattern as the price is forced to continue downward towards consolidation.
If the price can stay below this line we could see it consolidate somewhere between the 0.618 and 0.786 fib levels before reversing into an uptrend.
Once the price begins to recover back towards the line we should expect some selling pressure as investors anticipate a drawback and preemptively withdraw profits early.
Good buying sentiment will be essential in maintaining the breakout, particularly if the overall market performance remains poor, so a bullish MACD convergence, crossing EMAs or similar momentum indicators will be good confirmation of an uptrend continuation.
We almost witnessed VeChain make an early departure from this pattern a few days ago after it surged 25% following the announcement of its listing on Bithumb. The plotted red line above indicates a potential uptrending channel if VeChain manages to rebound off the diagonal support, however MACD and volume indicators both show bullish momentum dwindling for VEN at the present time.
VeChain (VEN/BTC) Price Prediction
VeChain is currently down -3.59% against its pairing with BTC. Chances of it entering into an early uptrending channel are unlikely given the current bear market.
We would like to see VEN continue to track well along the descending support to continue the pattern and hopefully witness a breakout above the 0.618 fib level initially, before going on to retest the level at 37,500 Sats.
From there we could plot the next price points around 0.5 fib level at 42,300 Sats and potentially 51,600 Sats, if South Korean investors rally to show their support.
This article appeared first on Cryptovest
