- VELO forms higher lows as it bounces from long-term trendline support again.
- MACD divergence signals weakening selling pressure, hinting at potential reversal.
- Price consolidates near wedge support, with breakout targets mapped up to $0.67.
VELO/USDT is testing long-term support after falling from $0.030 highs in December 2023. The chart continues to form higher lows while price respects a two-year ascending trendline. Technical signals show a tight range, signaling a breakout setup.
Support Holds With Hidden Bullish Divergence
VELO has tapped its trendline three times since 2022, each time triggering short-term upward moves. These reactions confirm buyer interest and accumulation near support. Price recently bounced from $0.0112, preserving the bullish structure.
Javon Marks identified hidden bullish divergence between price and the MACD on the daily chart. He observed price forming higher lows while MACD shows lower lows, indicating fading bearish strength. He added that this pattern often precedes trend reversals.
Source: Javon Marks
Javon noted the MACD histogram is shrinking, signaling momentum loss on the downside. He mentioned the signal lines are trailing but could cross soon if the price holds current levels. He said a crossover may confirm early reversal signs.
The analyst reported steady volume during this drop, with no panic sell-offs or abnormal activity. He explained that this suggests a controlled correction rather than aggressive selling. He marked the $0.011 zone as key for the next price move.
Symmetrical Wedge Tightens Ahead of Decision
The weekly chart shows price compressing inside a wedge between rising support and falling resistance. This pattern has formed since 2022 and contains all recent moves. Price now sits near wedge support, awaiting a break or bounce.
Solberg Invest, another popular analyst, analyzed the weekly structure using macro trendlines and historic resistance levels. He outlined a wedge formed by higher lows and lower highs over two years. He confirmed the price is near support around $0.0108.
Source: Solberg Invest
Solberg stated that past rejections around $0.035 and $0.042 shaped the upper resistance zone. He noted that this zone aligns with the wedge top, now acting as a breakout target. He said clearing this area could trigger strong upside moves.
Analyst Solberg projected initial upside targets between $0.05 and $0.063 on confirmation of support. He marked secondary targets at $0.26 and $0.31 based on past consolidation zones. He also added long-term goals of $0.46 and $0.67.
Weekly candles remain above support, keeping the structure valid. He pointed to stable volume, showing controlled activity during consolidation. Solberg emphasized that the next few candles will signal the trend’s next phase.
