Virtuals Protocol (Virtual) has recently seen a noticeable 11% increase in the last 24 hours, trading at $1.84 with support of $1.63.
Despite this upward momentum, Altcoin continues to face challenges both from investors’ sentiment and from market conditions. These factors could affect the potential for sustainable growth in the near future.
Virtuals Protocol loses investor interest
After the spike earlier this week, the number of new addresses in the virtual protocol has become much more pervasive. The new address is currently at a low of a month and a half, indicating a decline in investor interest.
This suggests that new investors are losing interest in virtual protocols.
The decline in new addresses highlights a broader trend that could hinder Virtual’s ability to build sustained momentum. A lack of renewed interest could lead to further consolidation and lower prices.
From a macro perspective, virtual protocols face several technical challenges. The mean directional index (ADX) shows a sharp decline, which could indicate weakness in momentum.
ADX remains above the 25.0 threshold, indicating the strength of the current trend.
However, there is a risk of falling below this level. If this occurs, it could indicate that recent price increases have lost its power. The decline in ADX, coupled with a lower level of new address activity, suggests that virtual protocols could quickly change price trends.
You can compromise the key to virtual price violations
Currently, Virtuals Protocol is trading at $1.84 after a notable 11.4% rise in the last 24 hours. At the moment, the price is at $1.93, and it could challenge even more ascending movements.
The recent $1.63 bounce is promising, but overcoming the $1.93 resistance is a key test of Altcoin’s short-term price action.
If the aforementioned factors continue to have a negative impact on the market, the virtual could struggle to violate the $1.93 resistance. This could lead to a period of integration as the price is likely to exceed the $1.63 support level.
However, if sales pressure increases, the price could fall below this support and potentially reach under $1.50.
Meanwhile, if the broader market situation changes bullish, the virtual protocol could push beyond the $1.93 resistance. Flip this level successfully to the support floor is important for Altcoin to target $2.00.
Beyond that, $2.45 becomes the next important resistance, showing a bearish paper reversal and opening the door for further profit.
Disclaimer
In line with Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. Although Beincrypto is committed to accurate and unbiased reporting, market conditions are subject to change without notice. Always carry out your research and consult with an expert before making any financial decisions. Please note that our terms and conditions, privacy policy and disclaimer have been updated.
