On December 13, Velodrome (VELO) experienced a huge breakout, rising more than 135% to the upside. The price recently hit a new ATH at $0.4245 and this breakout comes after the price passed key resistance levels. VLO’s price had recently traded above the $0.1722 resistance on December 6th but pulled back. On December 10th, the market printed a higher low and has now broken out once again.
Velodrome is part of the Optimism network, aimed at making transactions faster and more efficient. The recent surge in Velodrome’s price came after Binance, the world’s largest crypto exchange, listed its token with a seed tag. This listing exposes Velodrome to millions of Binance users. Even more exciting, its fork, Aerodrome, just secured over $20 million from Coinbase Ventures, straight from the open market. With big money backing it, VELO is rapidly gaining attention.
What’s Next For VELO?
Analyst Louie said that Velodrome is performing well, but with its price entering new territory, it’s unclear when or where it will peak. The analyst spotted a similar price pattern in PEPE before its big breakout, which helped identify the current movement.
In PEPE’s case, the price hit resistance at the 2.618 Fibonacci level, marking its all-time high after just two weeks of breakout. If Velodrome follows a similar pattern, the 2.618 level could be a short-to-mid-term target.
In the past, cryptocurrencies often saw a price spike when major exchanges list them, but these gains are usually short-lived as the excitement fades. However, with the start of the altcoin season approaching, Velodrome, like Aerodrome, is positioned to benefit from the market’s growing interest in altcoins. Velodrome is a coin with real-world utility, and as more investors look toward altcoins, it could see significant gains.
