Velvet (VELVET), the AI-powered onchain trading terminal and wallet, saw another bullish catalyst that sent the price of its token soaring. This is after the DeFi platform’s official handle X announced a partnership with Aerodrome Finance.
Velvet Methods Core trading is done directly through Aerodrome, giving users access to deep liquidity pools while getting tighter pricing and better fills as a result.
This news, combined with the recent bullish price action, has spurred VELVET bulls to push prices higher again.
Why the recent gains are in line with the VELVET structure
In the last 24 hours, velvet It rose by 135%, with daily trading volume up by 382%. This rebound came after the altcoin corrected 84% in two days, falling from $1.92 to $0.30.
The incident was amazing, and it seemed all doom and gloom. However, technically, this swing structure of the altcoin has not broken on the daily chart.
Instead, the price briefly fell below the 78.6% retracement level at $0.483, before reclaiming the level as support. This reclamation served as a starting point for the huge rise in recent days.
The Great Oscillator also appears to be rising, indicating that momentum is still bullish despite the deep correction. Selling volume does not appear to be strong either as the OBV has not fallen much from the high it hit earlier in June.
Traders call to action – be careful!
In the short term, there is a good argument that following upward momentum can be profitable. It certainly can be, if the lower time frame trader knows what he is doing. Especially in light of the latter to update.
The VELVET market showed a lot of volatility at a time when the rest of the market was bleeding. It is natural to doubt the relative strength of this symbol, taking into account Price gouging allegations Other tokens have experienced quite volatile fluctuations.
Final summary
- The strong rise in prices over the past 24 hours was accompanied by a nearly four-fold rise in daily trading volume.
- VELVET’s relative strength versus the broader market has been impressive, but traders and investors are warranted for caution.
