Virtuals Protocol (VIRTUAL) has caught traders’ attention after breaking out of a prolonged downtrend. Following a series of bullish moves and strong technical signals, the $VIRTUAL price is showing potential for a sustained rally, with price targets indicating a near-term level of $2.
The protocol recently resolved a critical token allocation issue, which has coincided with a surge in trading volume and increased investor sentiment.
Virtuals Protocol Price Confirms Breakout
According to a tweet by the popular crypto analyst Rekt Capital, the price of Virtuals Protocol has broken its downtrend and confirmed the breakout. The charts show that the price has moved above the downward trendline, which has limited gains for months, suggesting a possible start of a bullish trend.
The chart shows that any retracements into the previous resistance area (highlighted in purple) could serve as a retest, reinforcing the potential for further upward momentum. Currently, $VIRTUAL is priced at $1.08, an increase of nearly 24% over the past 24 hours. CoinMarketCap data shows its market capitalization exceeds $703 million.
Additionally, trading activity for $VIRTUAL has surged, with a 24-hour volume of $506 million, marking a 174% increase. This rise in volume often underpins price advancement as greater liquidity draws in more traders and institutional interest.
With the bullish breakout, high trading volume, and the price hovering around $1.08, some analysts expect the next target to be around $1.50 before attempting to breach the psychological $2.00 level.
Strong Technicals and Fundamentals Support Bullish Momentum
Technical indicators from TradingView reinforce the bullish outlook. The summary of indicators shows a strong Buy, with 13 Buy signals, 9 Neutral, and 3 Sell signals on the daily timeframe. The Moving Averages are even more robust, with 11 Buys and 2 Sells, signaling bullish momentum.
Meanwhile, one of the major developments fueling this momentum is Virtuals Protocol’s recent fix of a Genesis Allocation error. During a site upgrade, some users received incorrect amounts of BasisOS agent tokens.
The protocol acted swiftly, implementing a compensation plan that refunds under-allocated users 3x their shortfall in $VIRTUAL tokens. This proactive approach has restored community trust and injected new optimism into the project.
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