Bitcoin has been showing signs of weakness as of late. This is good news for many crypto tokens that have been badly beaten over the last few months as the dominant cryptocurrency flexed its muscles.
At the very least, the bitcoin correction will likely give smaller crypto assets the space to bounce. For some coins, this breather might be enough to ignite a sustained rally.
These three cryptocurrencies are dirt-cheap, making them excellent candidates for a near-term bounce.
VeChain is printing strong reversal signals and it’s worth keeping an eye on. The cryptocurrency is trading at the apex of a large falling wedge on the daily chart.
More importantly, it appears ready to take out the diagonal resistance of the wedge.
The good news is that technical indicators are favoring the bulls. A look at the daily RSI shows a long bullish divergence. This tells us that bulls have been gathering momentum for some time. Once unleashed, we expect VeChain to ignite a strong rally.
Another notable development was the capitulation volume on June 25. Looking at VeChain’s history on Binance, the volume on that day was the largest printed by the cryptocurrency. This was a strong indicator that tells us that the bottom is likely in.
To validate our bias, VeChain must reclaim 0.0000006 BTC and convert it into a solid support. When that happens, bulls will easily target 0.000001 BTC.