The cryptocurrency market is full of opportunities for investors willing to embrace risks and a volatile road of value asymmetry.
For example, Dogecoin (DOGE) and Shiba Inu (SHIB) are notable examples of cryptocurrencies that soared in the past. Notably, both went from less than $1 billion in market cap to all-time highs of $98.47 billion and $249.83 billion, respectively, in 2021.
In particular, DOGE and SHIB are two memecoins that massively benefited from the support of influential figures like Elon Musk. They experienced the pump during the last cycle’s bull market, and other projects will hardly manage to mirror their performance.
VET/USD weekly chart. Source: Ali Martinez (@ali_charts)
In this context, a run to $0.70 would reward investors with 1,900% gains before 2024 ends. The trader fundaments his analysis on VeChain’s past price action in 2021. However, there are no guarantees of such an occurrence.
Essentially, price is formed by the combination of supply and demand of a given asset. VET reached its all-time high during a moment of high euphory and huge capital inflow to the crypto market.
Therefore, VeChain can only be a solid opportunity if the cryptocurrency attracts enough demand. Usually, meaningful demand increases rely on either high speculation for new projects or solid fundamentals for established ones.
The crypto landscape can be extremely uncertain and volatile. Thus, investors looking for the next big ‘crypto opportunity’ must be ready to face frustration through sober expectations and proper risk management.
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
