Bollinger Band Squeeze and EMA200 Pressure Signal Uncertain VELO Breakout

• VELO continues to face rejection at $0.015500 as sellers defend range highs despite rising open interest and trading volume.
• The EMA200 has started to curve downward, capping VELO’s upside and adding pressure at an already congested resistance zone.
• Bollinger Band squeeze signals that VELO’s tightening range may soon snap, with a breakout or breakdown likely approaching.

Velo Protocol’s native token, VELO, is trading near a critical resistance zone between $0.014500 and $0.015500. Despite rising volume and open interest, the altcoin remains technically capped by structural and momentum-based barriers.

Critical Compression Near Range Highs

VELO continues to oscillate sharply between $0.010000 and $0.015500, a well-defined trading range on KuCoin. Buyers have defended the lower zone multiple times , yet the asset now faces compression near its upper boundary. Both the upper Bollinger Band and the EMA200 are now creating additional resistance.

As in the post above, bearish analyst Satori has provided insights into VELO’s latest market behavior. VELO is confronting heavy sell pressure near $0.015500, a price level that has rejected advances since March. According to Satori, the 200-period EMA has started curving downward, weakening any immediate bullish momentum.

Furthermore, Satori observes that VELO’s price continues to test the upper Bollinger Band, but each attempt has triggered seller activity. This reflects active bullish pressure, although the structure remains limited unless the price closes above resistance. He adds that increasing open interest and trading volume confirm intensifying participation from both sides of the market.

Tightening Indicators Point to Impending Break

Satori’s detailed analysis indicates that VELO’s Bollinger Bands are now narrowing, a common sign of low volatility. Typically, this type of squeeze precedes a strong move in either direction once the range resolves. However, VELO must overcome the downward-sloping EMA200 before any trend shift can occur.

Furthermore, recent market action has shown that the support band of $0.010000 to $0.011500 is surprisingly steady. Every dip into this zone has attracted clear buying interest, keeping the range bottom intact. Satori believes that without a convincing break above $0.015500, VELO could remain trapped in sideways movement.

This structure leaves VELO in a high-pressure zone where a breakout or breakdown may be imminent. With key indicators converging and volume holding firm, market watchers are eyeing the next decisive move. VELO now faces a critical inflection point that will likely define its short-term direction.