VeChain (VET) currently has several promising developments.

VeChain is currently undertaking several promising developments as well as its blockchain-based efforts. VeChain’s official Twitter account said the situation took a turn for the worse in October, but said the team was happy with the progress made so far in his VeChain network.

Vechain.energy aims to connect the web2 and web3 communities. The developer recently said on Medium that the bridge he said was “finished, bumpy but finished” in October.

The latest information can be found in the blog post, but the snapshots associated with the tweets on Twitter show the steady development of the project. This is hopeful news for the project.

However, there are always unique cryptocurrencies that are released alongside new crypto projects. The value of VeChain’s native currency, VET, has risen dramatically following the collapse of the cryptocurrency market this year. Based on his CoinGecko numbers on Wednesday, there was a 10% increase each week.

The only remaining question is whether VET will maintain its upward trajectory.

October was a great month! The most technically important bricks are #WebHooks allow bi-directional #Blockchain Communication with all backends. But there was more…

Click here for a review of October: https://t.co/RfiW5UNncW#VeChain #VeFam 🎃 pic.twitter.com/GevQyKC58v

— vechain.energy (@VeChainEnergy) October 31, 2022

VET rally could be temporary

Promising developments on VeChain contributed to the price increase, but it should be noted that most of the top 30 cryptocurrencies are also seeing price increases.

However, the increase in VET may be temporary. A flag and pole pattern was formed based on past and current price movements. This is three consecutive breaks in a bearish pattern, putting downward pressure on the token.

Image: TradingView

Market capitalization is where you see growth. According to LunarCrush, VET’s market cap has grown by more than 8%. However, this expansion is offset by an approximately 2% decline in TVL.

Additionally, the coin has conflicting RSI, Stoch RSI, and CMF values, with bullish RSI and CMF values ​​and bearish Stoch RSI values.

What is the VET bearish trend?

All of these bearish chart changes are backed by an approaching bearish convergence with the EMA ribbon. This can be a serious problem for VET. Because there could be a bearish break in the current flag and pole structure.

A bearish breach of the current trading pattern could drive the price of VET down towards the 100 Fibonacci retracement level.

Therefore, potential VET investors should be careful about taking long positions and may consider taking advantage of negative Stoch RSI values ​​to short the current market price.

VET market cap at $1.70 billion on the daily chart | Featured image from Zipmex, Chart: TradingView.com

Disclaimer: The analysis represents the author's personal understanding of the crypto market and should not be construed as investment advice.