The VeChain price has staged a remarkable rebound in the past few days as digital currencies rebound. The VET price has jumped to $0.8440, which is about 47% above the lowest level last week. This rebound has pushed its total market capitalization to more than $5.3 billion and pushed its ranking to position 23.
What happened? VeChain is among the best performing digital currencies in the past 24 hours after rising by more than 18%. The other top performers are Dogecoin, Cardano, Bitcoin Cash, and Wrapped Bitcoin. This strong performance is mostly because of the overall positive sentiment in the digital currencies space. In fact, the cryptocurrency fear and greed index has moved to 24, which is above last week’s low of 10.
For one, the recent weak economic numbers from the US have given the Fed cover for leaving interest rates and quantitative easing intact for a while. Further, we have had some positive news about the industry from the likes of Elon Musk, Cathie Wood, Amazon. As we wrote earlier today, Amazon is considering accepting Bitcoin by the end of the year. If this is accurate, then we can expect that other digital currencies like Bitcoin and Ethereum will keep rising.
Therefore, in most cases, VeChain prices tends to do well when other digital currencies rebound. This is the main reason why the coin is jumping today.
VeChain price prediction
The daily chart shows that the VET price broke out below the key support level at $0.0677 last week. It then declined to a multimonth low of $0.0560. The coin has now moved above the 78.6% retracement level and is attempting to move above the 50-day EMA. The coin also seems to be forming an inverted head and shoulders pattern, which is usually a bullish signal.
Therefore, while this may be the start of a new bullish trend, there is a possibility that it is a relief rally. As such, it means that the coin is not in a buy zone yet. The buy zone will be confirmed when it moves above the 100-day MA at $0.10.