A forming volume event mirrors past setups that led to major price surges, reinforcing the potential for another breakout.
The cryptocurrency market is closely watching VELO as it nears another volume-driven breakout. Analysts suggest that past trends indicate a strong upward move if volume expansion continues.
Technical analysts are evaluating VELO’s price action, which recently moved through a consolidation phase. The asset previously surged from $0.008 to over $0.22, with volume increases aligning with key price movements.
Javon Marks has highlighted VELO’s past breakout, noting that a smaller volume expansion in late 2023 led to a near 1,000% gain. According to him, a much larger volume event is forming, which could fuel another strong price rally.
Source: Javon Marks
The current accumulation phase near $0.085 resembles past setups before major price spikes. A descending volume trendline supports a breakout scenario if volume surges again. Buyers stepping in at lower levels indicate potential accumulation, aligning with past reversal patterns.
VELO’s price movement has formed a structure resembling prior breakouts. Analysts are watching to see if volume expansion confirms a new bullish trend. Recent trading data shows volume remains below peak levels from earlier surges. A sharp increase in transaction activity, however, could act as a trigger for a price rally.
The consolidation phase near $0.0080 suggests market participants are waiting for confirmation before positioning for the next move. If volume sustains an upward trend, it could reinforce the breakout scenario analysts are monitoring.
Dark Horseman has provided additional insights, noting that VELO remains in a valid trading setup despite broader market bearishness. He identified $0.0078 as a key support level, which recently saw a bounce. Resistance near $0.0090 and $0.0110 could cap gains unless volume increases.
Source: Dark Horseman
His analysis highlights the 200 EMA near $0.0087 as an important trend marker. VELO’s price is consolidating around $0.0080, with volume lower than in past surges. The stochastic RSI signals mild upward momentum, though volatility persists.
Historical data shows strong market activity near the VP-POC region. The market’s next move could depend on whether rising trading volume sustains price movement beyond key resistance zones.
