VeChain (VET) has recently experienced a significant milestone, known as the Golden Cross, for the first time since June 2020. This occurrence has set the stage for a potential 3000% surge in the coming year, and an analyst predicts a similar spike is on the horizon.
Although some argue that the era of large-cap crypto pumps is over, VeChain made headlines in 2021 with an impressive 3000% gain, propelling it to its all-time high price of $0.28. However, the token’s value has since declined, hitting a low of $0.0147 in September. While there has been a slight recovery, it is still far from its previous peak. Nevertheless, an analyst suggests that VeChain has the potential to replicate its 2021 rise in the current bull market.
As of now, VET is trading at $0.0303 and has remained within the same range over the past 24 hours. In the past week, it has experienced an 11.5% loss, dropping from a weekly high of $0.036. Despite this, there has been a notable increase in interest in the token, with a 90% surge in the past day, bringing the trading volume to $84.5 million. However, it still ranks among the ten lowest trading volumes in the top 50 cryptocurrencies.
An analyst known as AJ believes that VeChain’s fortunes could soon change. AJ highlights the recent closure of the Golden Cross, a bullish chart pattern where the short-term moving average crosses the long-term moving average. The last time VeChain exhibited a similar trend, it saw a spike of over 3000% in the following year. With an 80% increase in trading volume in the past day, VeChain may be on the verge of a significant move.
AJ predicts that VeChain could reach a price target of $1.14 by October this year. If this were to happen, it would be the highest price ever recorded for the coin, placing its market cap at $82.9 billion. This would make VeChain the third-highest cryptocurrency after BTC, ETH, and USDT.
However, it is worth noting that this projection is extremely optimistic. During VeChain’s previous 3000% surge, it was one of the hottest coins in the market, with a market cap well below a billion dollars. Today, there are numerous new projects with the potential for explosive growth. For example, the Solana-based meme coin BONK gained 7300% in 2023, outperforming all other coins. Additionally, among the top 10 gainers of 2023, only Solana, with a 973% increase, ranks in the top 20 by market cap.
Nevertheless, there are factors that support a bullish outlook for VeChain. The continued adoption of VeChainThor, its underlying network, is one such factor. Recently, the network reached a milestone of two million daily transactions for the first time. VeChainThor has also become synonymous with the sustainability movement, thanks to its partnership with the Boston Consulting Group. This partnership incentivizes users to participate in sustainable actions and demonstrates that blockchain technology is ideal for the future.
In conclusion, VeChain’s recent Golden Cross has sparked optimism among analysts, with predictions of a potential 3000% rise in the coming year. While there are factors that support this outlook, it is essential to consider the competitive landscape and the emergence of new projects in the crypto market. Nevertheless, VeChain’s strong fundamentals and its association with sustainability bode well for its future prospects.