Is there More to VeChain, VeThor’s 11% Rally?

Lavina Daryanani
Source: Addas Capital

VeChain managed to garner a fair amount of traction from the community today. A few hours back, Coinbase revealed its intention to onboard two prominent assets, VeChain [VET] and VeThor [VTHO] onto its exchange. On the back of the development, both assets started registered increase in valuation.

At press time, VeChain was the second-largest gainer of the day, among the top 100 assets. Post noting a swift 9% incline, the VET was seen exchanging hands at $0.01818. VeThor Token’s gains, on the other hand, were in double digits. The 285th-ranked asset was priced at $0.001182, owing to its 11% uptick over the past 24-hours.

Also Read: Coinbase Onboards VeChain and VeThor as Part of Its Roadmap

Is there more room for VeChain, VeThor to rally?

The inclines of both assets come at a time when large and mid-cap cryptos including Ethereum, Solana, Cardano, XRP, and Dogecoin are consolidating. On the short-term timeframe, both VET and VTHO have a couple of hurdles around their current price. VET traders need to keep an eye out on $0.019, $0.01990, and $0.02097.

VTHO is also around a critical juncture at the moment. The level around which it is currently trading had previously rained on its parade in the first week of June. Despite several attempts, the price couldn’t break above. The asset’s next roadblock lies around $0.0013. This is approximately the level around which VTHO registered a flash spike last week. In fact, it also coincides with its end-of-May resistance cluster.

VET/USDT, VTHO/USDT by TradingView

Owing to the latest spike, investors are now in a much more comfortable position. Let’s take into account VeChain’s Sharpe Ratio. As illustrated below, this metric was as low as 6.11 in the negative territory on Saturday, June 17. Yet, the number is at the cusp of breaking even and stepping into positive territory.

Source: Messari

Over the past few months, a lot of tie-ups have transpired within the VeChain-VeThor ecosystem. For instance, VeChain is the tech provider for Street Skateboarding Rome, where skateboarders are currently competing to punch their ticket to the Paris 2024 Olympic Games. Alongside, VeChainThor is being used to certify Samsung Heavy Industries. The developments are quite significant and kept the community engaged. However, a lack of organic growth would lead to weak price rallies, and hype may fizzle out quickly in the long-term market.