VeChain Shows Signs of Continued Bullish Momentum Amid Rising Social Volume and Key Technical Indicators

• VeChain’s ongoing bullish trend is underpinned by significant technical developments, rising social sentiment, and increased trading volume.

• The recent breakout beyond its historical resistance levels has attracted both traders and investors, eager to capitalize on potential price movements.

• According to COINOTAG analysts, “The latest surge reflects strong fundamentals and market recognition of VeChain’s growth potential.”

An in-depth look at VeChain’s market momentum with insights on technical indicators and social volume that may drive future price movements.

What’s behind the breakout?

VeChain’s daily chart indicates a breakout from its descending channel, which usually signals a shift in market direction. Additionally, the formation of a golden cross, where the 50-day Moving Average (MA) crosses above the 200-day MA, strengthens the bullish outlook. This crossover often marks the start of a prolonged uptrend. Furthermore, VeChain has broken through its key resistance level at $0.051, showing that buyers have taken control and pushed the price higher.

Source: TradingView

What are VET’s technical indicators signaling?

VeChain’s technical indicators show a strong bullish sentiment. The Relative Strength Index (RSI) was at 75.34, suggesting the asset is approaching overbought conditions. This could indicate a short-term cooling, but since the RSI is still below the 80 threshold, there’s room for further upward movement. Also, the MACD value of 0.00314 was positive, further confirming bullish sentiment. A positive MACD suggests that buying pressure continues to outweigh selling pressure. These indicators point to a likely continuation of the current uptrend.

Source: TradingView

Is social volume backing the price surge?

Social volume for VET has increased significantly, rising from 204 to 266 over the past 24 hours. This jump in social activity signals growing interest in VeChain, potentially driving the recent price movement. Increased social volume often precedes price increases, suggesting that the rally may be fueled by heightened market attention. Consequently, if this trend continues, VeChain could experience further price gains.

Source: Santiment

What does the Long/Short Ratio say?

The Long/Short Ratio for VeChain stood at 47.03% long and 52.97% short, with a ratio of 0.8879. This indicates a relatively balanced market, with a slight lean towards bearish sentiment. However, if the bullish momentum continues, short sellers could be caught off guard, potentially leading to a short squeeze that could push the price even higher.

Source: Coinglass

Conclusion: Will VET sustain its bullish trend?

At press time, VeChain’s strong technical indicators, a breakout from key resistance, and rising social volume suggest that the token could continue its upward trajectory. However, with the RSI nearing overbought levels and a mixed Long/Short ratio, caution is still advised. If VeChain can maintain its current momentum and hold above key support levels, the outlook remains positive, and we may see further price gains in the coming days.