- Velo stabilizes at $0.025 support; analysts await a breakout above $0.028 resistance.
- RSI at 44.68 signals mild bearish momentum; MFI at 50.10 shows balanced capital flow.
- Key targets are set at $0.042 and $0.089; analysts monitor $0.028 resistance closely.
The cryptocurrency community is watching Velo (VELO) as the asset shows potential signs suggesting it might soon increase in value. At $0.0262, with a decline of 4.71% in the last day, market experts are uncertain if VELO will rise soon or continue falling.
VELO Price Consolidation at Key Levels
Velo trades in a small price range at press time after dropping from $0.040 to $0.026. The analysts note that the price is stabilizing on the $0.025 support zone, suggesting consolidation. After the price dropped sharply, this level emerged as the support to prevent further decline.
Traders are watching $0.028 because breaking through this level may indicate a new market trend. Moving past this level, Velo might head towards $0.032, continuing where it last peaked and meeting stronger market resistance.
Moving Averages and Indicators Signal Recovery Potential
Velo’s current trading price is below its 20-day EMA of $0.0342. Market experts believe closing higher than this level by the end of the month would signal a bullish phase. Furthermore, the 200-day Moving Average return confirms the long-term bullish sentiment.
Two momentum indicators, the RSI and MFI, currently show mixed signals. The RSI is 44.68, slightly below neutral, suggesting bearish momentum but not oversold conditions. Meanwhile, the MFI is at 50.10 and displays equal inflows and outflows. Values above 60 in these indicators suggest the market is building more bullish strength.
Long-Term Trend and Key Price Targets
Velo is showing gains after a steady decline in price since early 2021. Market Analysts noticed a rounded bottom shape at the center of 2022, indicating buyers were starting to accumulate the cryptocurrency. Breaking out of this phase has caused traders to believe prices will increase.
Two major price targets have been highlighted by analyst Egrag Crypto. The short-term focus is at $0.042, a psychological and technical level. This level could be where selling pressure comes in. Should prices rise beyond this level, it would be bullish.
The mid-term target is $0.089, matching both the Fibonacci retracement point and Velo’s highest price from early 2022. The price needs to move past $0.089 to confirm the asset’s recovery from its bear market, which could lead to more price increases.
Related: SHIB on the Brink: Key Levels That Could Change Everything
Support Levels and Velo Market Outlook
Velo’s price seems to hold steady at around $0.025, showing this level is key for support. At $0.030, the price gets additional backing, directly matching the 0.236 Fibonacci retracement level, which offers more support.
According to Coinglass, in the last 24 hours, Velo’s derivatives market saw trading volume drop to $44.87 million, a 46.65% decrease, while open interest fell by 16.21%. Traders are holding back their activities while watching for the market to show a strong price move.
Despite the downturn in prices, market experts highlight there could be a bullish sentiment if the price climbs above $0.028 and $0.0342. According to projections, the price may decline to $0.020 if it fails to hold above the recent support levels.
