- Cardano, VeChain, and other altcoins have dropped sharply recently.
- The two tokens have formed a hammer pattern on the daily chart.
- There is a likelihood of a bullish breakout in the near term.
Altcoins have remained under pressure in the past few days as investors assess the impact of last week’s legal challenges to Coinbase and Binance. Some exchanges, especially those in the United States, have started to delist some crypto tokens. They cite the lawsuit against Coinbase, which said that some coins were securities. In this article, we will conduct a VeChain and Cardano price predictions ahead of the Fed decision.
Cardano price prediction
The daily chart show that ADA price peaked at $0.4625 on April 15th this year. Since then, the coin has been in a strong bearish trend, which saw it tumble to a low of $0.2294 during the weekend. Cardano had formed a head and shoulders pattern, which is usually a bearish signal.
It also moved below the 50-day and 25-day exponential moving averages (EMA), which is a sign that bears are in control. Most importantly, Cardano price dropped below the important support level at $0.2990, the lowest point on March 10th of this year.
Therefore, since these are all bearish signs, there is a likelihood that Cardano will continue falling in the near term. However, a candlestick analysis shows that it has formed a hammer and a doji pattern, which are usually signs of a bullish reversal.
Therefore, I believe that Cardano price will have a bullish breakout in the coming days as investors reflect on the next actions of the Federal Reserve. If this happens, the coin will rise and retest the resistance point at $0.30 and then resume the bearish trend.
VeChain price prediction
VeChain is a blockchain project headquartered in Singapore. It was created to disrupt the supply chain industry around the world. At its peak, VeChain was being used by the likes of Walmart, LVMH, and BMW China. It is unclear whether these companies use its technology. At the time, VeChain was one of the top 20 biggest cryptocurrencies in the world.
Like Cardano, VeChain price has been in a downward trend in the past few weeks. It has plunged by over 50% from the highest level this year. It recently dropped below the important support level at $0.0186, the lowest point on May 21st.
VeChain has dropped below all moving averages while the Relative Strength Index (RSI) has dropped below the oversold level. It has also formed a hammer pattern, implying that it could retest the key resistance point at $0.018.
Read more: How to buy VeChain.
