The broader cryptocurrency market saw some consolidating gains this week amid a sluggish December. VeChain (VET) followed major coins such as Bitcoin and Ethereum, recording notable upward movement. In fact, VeChain (VET) has risen almost 25% since the start of the week and added nearly 5% in today’s trading. But will this upward trend continue? Here are the key points:
- VeChain (VET) was one of the top-performing altcoins over the past seven days, gaining as much as 25%.
- Despite recent gains, the coin remains about 50% below its November highs and roughly 65% below its yearly peaks.
- The Relative Strength Index (RSI) suggests bullish momentum is building, although buying activity is not yet overwhelmingly strong.
Data source: Tradingview.com
VeChain (VET) – analysis and price outlook
Recent weekly advances appear to have pushed VeChain (VET) back into an uptrend after the token spent much of the month in negative territory. The coin has broken above its 50-day simple moving average, and the RSI looks constructive, indicating expected bullish activity in the near term.
For a confirmed breakout, VeChain (VET) still needs to clear the $0.0963 level. At the time of writing, the coin traded slightly below that threshold at $0.09174. It is also worth noting that VET remains over 65% below its all-time highs reached earlier this year. It is unlikely the coin will retest those levels within 2021.
Is VeChain (VET) worth buying?
VeChain (VET) once reached a peak market capitalization approaching $16 billion, demonstrating significant investor confidence. Since then it has lost nearly $10 billion in market cap, yet the long-term fundamentals of VET remain solid. It may be an appropriate investment for those who plan to buy the token and hold it in their crypto wallet in anticipation of potential future price appreciation.