🚨$VVV / USDT — REJECTION AT LOCAL PEAK! 📉 [Short]
ENTRY: $2.40 – $2.62 🎯
STOP LOSS: $2.69 🛑 (Safe zone above the 24h high and predicted January peak)
TP 1: $2.13 ✅ (Crucial 200-day SMA support level)
TP 2: $1.97 🔥 (Recent 24h low and key psychological support)
TP 3: $1.64 🚀 (Major structural floor and projected base)
Why are we Shorting? 🐻
Technical Overextension: Venice Token (VVV) is currently trading in deep overbought territory with an RSI of 77.3 following a massive 107.7% surge over the last 30 days. This indicates significant pullback risk as buyers reach exhaustion. 📉🌪️
Rejection at Key Resistance: While the price recently broke its 200-day moving average ($2.13), it is now facing a heavy psychological barrier near $2.62. Failure to sustain closes above this level often triggers aggressive profit-taking from late-stage longs. 🧱📉
Volume-Price Divergence: Although trading volume spiked by 95.90% to roughly $12.6M, much of this activity is concentrated at the local highs, which can signal a "blow-off top" before a reversal. 📉🩸
Structural Market Weakness: Despite recent gains, VVV remains down over 90% from its initial $1.23B launch FDV, reflecting broader skepticism and structural challenges for 2025-launched tokens. 😱❄️
Delayed Catalyst Impact: While the 25% emission reduction announced for February 10, 2026, is fundamentally bullish, the immediate "buy the rumor" rally may have already peaked, leading to a "sell the news" cooling-off period until the actual supply cut takes effect. 🐋🔨
The Strategy 🧠
We are playing the mean reversion after a parabolic breakout! 🛡️ By entering between $2.40 and $2.62, we capitalize on the potential rejection at the current local top. The Stop Loss at $2.69 provides a safety buffer against a final push toward the January forecast ceiling. Focus on the $2.13 level for initial profits, as a daily close below this 200-day SMA would confirm the breakout was a "bull trap"!
