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A recent analysis suggests that the performance of Bitcoin (BTC) and Ethereum (ETH), particularly following anticipated ETF launches, could have a ripple effect on altcoins like VeChain (VET), potentially driving them to new all-time highs.
Crypto analyst Nick Regan has outlined this possibility, citing VeChain’s current market position and technical indicators as key factors.
Following the launch of Exchange-Traded Funds (ETFs), Bitcoin reached a remarkable pre-halving ATH of $75,830 in March. As of press time, it trades at $60,700 with a market cap of $1.1 trillion, per data.
Ethereum is expected to follow a similar trend once its anticipated ETF begins trading this month. As such, experts expect Ethereum to hit $15,000, potentially reaching a market cap of $1.8 trillion, a 4.4x increase from its current position.
The host explained that despite Bitcoin’ and Ethereum’ diminishing gains over time, altcoins like VeChain still hold significant potential. He added that VET’s current circulating supply of 80.9 billion and a market cap of $2 billion position it for substantial growth.
Technical analysis of VeChain shows a deep correction to the downside, typical of a wave two move. Although significant, this decline is expected and falls within the 50% to 88.2% retracement levels. If VeChain’s price dips to around 1.50 cents without falling below 1.318 cents, it could set the stage for a substantial upward surge, initially targeting a minimum of 0.50 cents.
Historical data from 2020 to 2021 suggests that VeChain’s price could reach between 32 cents and 77.5 cents, based on Fibonacci retracement levels. Using a more realistic target of 77 cents, VeChain could achieve a market cap of $62 billion, representing a 30x increase from its current position.
The analyst noted that even though technical indicators predict VeChain to reach $2.35, with a $190 billion market cap and a 91.5x increase, this scenario is less likely. Instead, the analyst considers a 77-cent target more realistic due to VeChain’s market positioning and growth potential in sectors like sustainability and sports. According to him, this realistic forecast suggests a reasonable 30x growth following a significant correction.
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