VETUSDT time to explode?VeChain is a blockchain platform designed for supply chain management and business processes.
Since 20th February, the price of VETUSDT has been moving within a descending channel, indicating a downtrend. This pattern is characterized by a series of lower highs and lower lows, forming a channel sloping downwards on the price chart.
Currently, the market is reaching a critical point as it tests a key level and the dynamic support. This key level might be a significant horizontal price level that has historically acted as either support or resistance. On the other hand, dynamic support refers to a moving average or trendline that provides support to the price action as it moves downwards.
For a favorable trading opportunity, the price of VETUSDT needs to create a clear breakout. A breakout occurs when the price surpasses a key level or breaks out of a pattern, indicating a potential reversal or continuation of the trend. In this case, a clear breakout above the descending channel would suggest a possible trend reversal or a shift towards a more bullish sentiment.
Applying Plancton's rules, it seems that a new long position might be considered once the price confirms the breakout. However, it is crucial to evaluate other factors such as volume, momentum indicators, and market sentiment to strengthen the trading decision.
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Keep in mind.
🟣 Purple structure -> Monthly structure.
🔴 Red structure -> Weekly structure.
🔵 Blue structure -> Daily structure.
🟡 Yellow structure -> 4h structure.
⚫️ Black structure -> <= 1h structure.
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