VeChain (VET) continues to experience a downward trend as the broader cryptocurrency market struggles to regain momentum. The asset has declined 0.3% in the past 24 hours, 4.5% over the past week, and a staggering 25.1% over the last month. Despite this downturn, VET has managed to maintain an 11.5% gain since February 2024, indicating some long-term resilience.
Crypto Market Remains in the Red
The overall cryptocurrency market remains lackluster, with no significant signs of recovery. The recent market slump, which began earlier this month, has continued to erode the value of many digital assets, including VET. Market uncertainty has been exacerbated by macroeconomic factors, leading to increased caution among investors.
A major factor contributing to the downturn is U.S. President Donald Trump’s announcement of additional taxes on steel and aluminum. The move has made investors wary of riskier assets like cryptocurrencies. Furthermore, Trump’s pledge to impose tariffs on countries that tax U.S. goods has fueled further market unease, potentially discouraging investment in digital assets.
Can VeChain (VET) Reach $0.08 This Week?
The release of U.S. jobs data for January 2025 revealed weaker-than-expected employment growth, fueling speculation that the Federal Reserve could cut interest rates. A potential rate cut could improve investor sentiment, providing a much-needed boost to the crypto market, including VeChain (VET).
According to CoinCodex, VET is projected to climb to $0.042 by February 14. While this may not be a significant rally, it would mark a temporary recovery in an otherwise bearish market. Looking ahead, CoinCodex anticipates that VET could surge to $0.125 by April 20, 2025, representing a potential 278.79% increase from current levels.
However, this bullish outlook is contingent on improving macroeconomic conditions. If the Federal Reserve delays interest rate cuts or geopolitical tensions escalate, investors may remain hesitant, leading VET and the broader crypto market to continue moving sideways in the coming months.
Also Read: VeChain (VET) Soars 14.8% in 24 Hours: What’s Driving the Bullish Momentum?
For now, VET holders will need to closely monitor economic indicators and market sentiment to gauge the asset’s potential recovery trajectory.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
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