VeChain heads toward support with RSI confirming oversold conditions: weekly analysis

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VeChain slips 2.52% this week

Highlights

VeChain trades decisively below all key moving averages, reflecting entrenched bearish momentum and sustained selling pressure.
Momentum indicators confirm a strong sell outlook, with oversold conditions but no evidence of an impending reversal.
Over the next week, VET is likely to move sideways within a $0.00410 to $0.00562 range, with downside risk prevailing unless resistance breaks.

Bearish momentum intensifies with oversold signals and multi-week lows

Technically, VET is positioned firmly below all its major weekly moving averages, with the MA-20 and especially the MA-50 now acting as dynamic resistance zones. Momentum remains negative, as the MACD and ADX support a strong sell outlook, while RSI at 28.87, Stochastic RSI at 12.75, and CCI at -187.72 confirm pronounced oversold conditions without any indication of an imminent reversal. Volatility stood at 17.14% over the past week, and the Awesome Oscillator continues to print negative values, reinforcing the downside trend. The asset is trading at the bottom of its weekly range, with bearish signals dominating across all key weekly indicators.

Limited upside expected as weekly forecast points to range-bound decline

For the next 7 days, the weekly forecast anticipates VET to trade between $0.00410 and $0.00562, reflecting recent volatility and its current technical position. There is a low probability (less than 20%) of upward movement, with momentum likely to favor further declines or sideways consolidation near support levels. The baseline scenario expects the price to remain narrowly range-bound just above the recent support, while a move below $0.00410 could trigger a retest or new weekly lows. A sustained break above $0.00562 would be required to challenge resistance and consider any short-term bullish reversal.

Jainam Mehta, market strategist, notes VeChain spent the week reinforcing its bearish structure, with prices remaining firmly below all key weekly moving averages and momentum signals showing no sign of recovery. He sees persistent negative momentum and deep oversold conditions, but emphasizes that without a tangible reversal signal, sellers remain in control. Unless VET can break above $0.00562, Mehta believes the risk of further downside remains elevated, especially if $0.00410 fails to hold as support. "In the coming week, I’ll stay patient — no reversal is confirmed until price breaks out above resistance and weekly momentum shifts," he says.

Earlier, analysts noted that VeChain was exhibiting dominant bearish momentum and limited prospects for a short-term reversal. The current technical picture not only reaffirms this negative trend but also elevates the risk of a decisive break below weekly support, which traders should regard as a key level for assessing further downside exposure.

Source of Data: VET Price Analysis by TU

The analysis is based on a proprietary model combining technical, on-chain, and expert data. Not investment advice. See methodology

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