The Velodrome Finance $VELODROME price has skyrocketed 80% in the last 24 hours to trade at $0.2578 as of 7:30 p.m. EST on an 8,800% pump in trading volume to $704 million.
This surge in the VELO price follows its listing on Binance, which has amplified interest in the token and its role within the Superchain ecosystem.
Binance’s announcement confirmed the addition of the VELODROME/USDT spot trading pair on Dec. 13.
Velodrome Finance, a decentralized exchange (DEX) platform, is recognized as a key player in providing liquidity to the Superchain, which underpins its growing utility and demand.
The listing will enhance investor accessibility and boost liquidity within Velodrome’s ecosystem. However, Binance has assigned the token a “Seed Tag,” cautioning traders about its high risks and volatility.
Velodrome Finance Price Encounters A Resistance
The VELO/USD trading pair in the 4-hour timeframe reveals strong bullish momentum, marked by significant price action. Currently, VELO is trading at $0.2578, following a sharp breakout from the $0.16 level. This breakout was accompanied by substantial buying activity, driving the price to approximately $0.35 before a healthy pullback brought it back to its current level.
The support zone is firmly established between $0.12 and $0.13, with the breakout point around $0.16 now serving as an immediate level to watch. Meanwhile, resistance is evident near the $0.30 mark, where selling pressure emerged.
The 50-day moving average (SMA) at $0.1674 has provided dynamic support, while the 200-day MA at $0.1218 lies within the broader support zone, further confirming the underlying bullish trend. Both moving averages reflect a positive outlook as prices remain well above these levels.
The MACD shows a slight negative histogram but is narrowing, which suggests weakening bearish momentum following the pullback.
The RSI (14) is at 65.01, indicating bullish strength but approaching overbought levels. This explains the recent retracement as traders took profits after the parabolic rise.
The pullback from $0.35 to the current level appears to be part of a consolidation phase, with buyers stepping in to defend new support levels.
If the price sustains above $0.26, it could retest the $0.30-$0.35 range in the short term. However, a failure to hold above the breakout point at $0.16 could lead to a deeper correction, with $0.12 as the next key support.
VELO’s bullish trend remains intact, but traders should wait for confirmation of a rebound or further consolidation before entering positions.
