VeChain falls nearly 9% as investors react to Interstellar mainnet upgrade

Traders Union
All News
Crypto
Vechain slides 8.96% today after upgrade

Highlights

VeChain upgraded its mainnet on September 16, 2024, to achieve full Ethereum Virtual Machine equivalence for seamless smart contract deployment.
The network maintains a focus on enterprise adoption in supply chain management, asset traceability, and tokenization use cases.
VET/USD is consolidating between $0.008674 support and $0.009227 resistance, with momentum indicators mixed and a 75% probability of upward movement toward $0.010895.

Mainnet upgrade expands smart contract access amid continued selling pressure

VeChain completed the Interstellar mainnet upgrade on September 16, 2024, enabling full Ethereum Virtual Machine equivalence for its blockchain. This technical milestone allows developers to deploy Ethereum smart contracts on VeChain without modification, enhancing project and enterprise use case potential. The network continues to prioritize enterprise solutions for supply chain management, traceability, and real-world asset tokenization, though price action has remained under broader selling pressure.

Anton Kharitonov, expert at Traders Union, sees VeChain trading above major moving averages but remains cautious after the recent 8.96% decline. He notes the technical structure suggests overall strength, yet warns that the overbought CCI reading at 167.09 leaves the price exposed to a short-term pullback. Kharitonov points to mixed momentum indicators and recent mainnet upgrade news as drivers of both optimism and risk. He highlights that holding above $0.008674 is crucial, while a breakdown could quickly trigger a test of $0.0075765. "Despite the technical resilience, I remain wary of downside risk if the bullish narrative fails to hold support levels," he says.

Viktoras Karapetjanc, expert at Traders Union, believes the recent mainnet upgrade positions VeChain for further growth. He sees enterprise adoption prospects improving thanks to EVM equivalence, which should elevate developer activity and institutional interest. Karapetjanc notes the bullish structure remains intact with VET above its moving averages. "After this major upgrade and with strong support in place, I expect buyers to regain momentum and potentially push toward $0.010895," he says.

Parshwa Turakhiya, analyst, views VeChain’s current setup as one of short-term consolidation within a broader uptrend. He observes mixed momentum, with oscillators suggesting both strength and near-term exhaustion. Turakhiya highlights opportunities for tactical traders near key support and resistance bands, especially as volatility stays elevated. "I expect price action to stay choppy, so nimble strategies around $0.008674 and $0.009227 could offer the best risk-reward this week," he says.

Bullish momentum and overbought signals shape consolidation

VET/USD is positioned above the 20-day ($0.00777445), 50-day ($0.00638216), and 200-day ($0.00615623) moving averages, highlighting a strong bullish technical structure in short-, medium-, and long-term trends. Immediate support is identified at $0.008674 and resistance at $0.009227, with the bullish 50-day versus 200-day alignment and Ichimoku Kijun support at $0.008177 reinforcing the outlook. Momentum readings are mixed: MACD and ADX indicate bullish momentum, RSI at 64.46 favors buyers, and Bull/Bear Power (0.00170098) and the Awesome Oscillator both point higher. However, the CCI at 167.09 signals overbought conditions, and the Stochastic RSI highlights an overextension on the sell side, revealing short-term oscillator divergence. VET is consolidating in the mid-range of its intraday band following early session volatility.

In a recent review, analysts highlighted VeChain's shift from bullish momentum to short-term consolidation following its Interstellar mainnet upgrade. The latest technical data indicate that while consolidation remains the dominant scenario, traders should monitor a potential bullish breakout above $0.009227, which could quickly target higher resistance levels in the coming days.

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

This material may contain third-party opinions, none of the data and information on this webpage constitutes investment advice according to our Disclaimer. While we adhere to strict Editorial Integrity, this post may contain references to products from our partners.