VETBTC unable to break through key resistance level
VeChain/Bitcoin Index (VETBTC) Technical Analysis Report for Nov 22, 2020 | by Techniquant Editorial Team
VETBTC ended Sunday at 0.00000075 losing BTC0.00000003 (-3.85%) on high volume. Closing within the prior day's range, prices missed to decisively move beyond the previous day's trading range.
Daily Candlestick Chart (VETBTC as at Nov 22, 2020):
Sunday's trading range has been BTC0.00000008 (10.26%), that's slightly above the last trading month's daily average range of BTC0.00000007. Weekly volatility is also higher, being slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for VETBTC.
Unable to break through the key technical resistance level at 0.00000078 (R1), the cryptocurrency closed below it after spiking up to 0.00000079 earlier during the day. The failure to close above the resistance could increase that levels importance going forward. After having been unable to move above 0.00000078 in the prior session, VET ran into sellers again around the same price level today, missing to move higher than 0.00000079. The last time this happened on Friday, VETBTC actually gained 20.00% on the following trading day.
Crossing below the upper Bollinger Band, prices have lost at least some of their upward momentum in the short-term and might now be heading back down towards the mean of the Bollinger Bands at 0.00000070.
Although VET/BTC is experiencing a short-term uptrend, this could just be a correction, as both the medium and long-term trends are still bearish.
Among the four market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Price broke through Technical Support S1" stand out. Its common bearish interpretation has been confirmed for VET/BTC. Out of 64 times, VETBTC closed lower 46.88% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the short side has been after 10 trading days, showing a win rate of 62.50% with an average market move of -2.55%.