VeChain spiked from $0.019 to $0.023 in two days after the U.S. government intervened in the Silicon Valley Bank collapse. U.S. treasury Janet Yellen confirmed that depositors will be protected by allowing them access to withdraw their funds. While banking stocks were paused from trading on Monday, Bitcoin forged ahead reaching $24,000. The cryptocurrency markets led the gains this time keeping the stock markets behind.
Now that the markets turned to green, the CPI data, which would be out on Tuesday, March 14, could make or break the rally. So which direction could VET move next? Let’s find out!
VeChain: Will VET Continue To Rise After the CPI Data?
VeChain is looking to climb above the $0.024 mark and is up nearly 7% in the day’s trade. The only development that could push its prices up is positive CPI numbers and if inflation spikes, VET could see a pullback. Therefore, the inflation numbers remain crucial for the cryptocurrency markets amid the ongoing banking crisis that’s rocked the financial world.
Leading outlets are forecasting that the CPI data numbers could fall to 6% from the 6.4% observed in January. Inflation might cool down by 0.4% from last month showing signs of positive growth.
While the markets could remain volatile, a price uptick might not last long as the economy is embroiled in several challenges. If the markets respond well to the drop in inflation numbers, VeChain could breach the $0.025 mark and touch $0.027 in the next leg. Therefore, short-term traders are suited best to ride the wave of volatility this week for quick profits.
However, if the CPI numbers don’t come out as expected, the markets could react strongly and experience a dip. Moreover, the markets could remain on a slippery slope this month due to the banking crisis as the situation is yet to fully be brought under control.
The dangers looming over the markets, including the banking crisis, and murmurs of upcoming inflation are far from over. It is advised to wait and watch for developments before going all in on VeChain at this point.
Also Read: US Regulators Have Closed Signature Bank
At press time, VeChain was trading at $0.023 and is up 6.3% in the 24-hour day trade. VET is down 91.65% from its all-time high of $0.28, which it reached in April 2021.