Venice Token [VVV] rallied by 4.46% in the last 24 hours. The privacy-first AI platform token faced a 27% drawdown from Monday, 5th October, to Friday, 9th October.
Coming off the back of such a tough week, the recent VVV gains were commendable. In fact, according to CoinMarketCap, the last 24 hours’ trading volume was 128% higher than the previous day’s.
The Open Interest behind VVV was up 8.5%, and the Spot CVD has been in a steady move higher. The Spot and perpetuals demand could be an encouraging sight. However, funding rates dipped into negative territory before press time hours to signal a slightly overcrowded short trade.
Venice Token’s outlook for the rest of October
On the daily timeframe, the swing structure was bullish. The previous swing high was broken in September to re-establish the bullish structure. This was intact, even at the time of writing, despite the previous week’s correction.
A daily session close below $21.13 will shift the structure bearishly and be the first warning sign of a downtrend. The technical indicators were already warning of a downtrend though.
The A/D indicator continued to slump lower, making multi-month lows. The CMF was at -0.22 and has been in negative territory for a good chunk of the past six months. Together, the two volume indicators highlighted the steady selling pressure on Venice Token despite its bullish price structure.
The pullback towards $21.13 also forced the Awesome Oscillator below the zero line to confirm that bearish momentum was prevalent.
Can VVV bulls fight back against the selling?
The $25-support level from September was broken earlier this month and was retested as resistance in recent hours. This retest was followed by a bearish engulfing candle, signaling that there was potential for a deeper price slide.
At the time of writing, Bitcoin’s [BTC] price had slid below $83K, sparking short-term altcoin market fear. Sustained market-wide selling will shift the Venice Token’s structure bearishly.
Final Summary
- Venice Token had a bullish price structure on the 1-day chart.
- Structure was precariously perched as volume indicators warned of steady selling pressure.
