Why did the price of VET fall?
VeChain (VET) dropped 0.57% in the last 24 hours, underperforming the overall crypto market, which fell 0.19%. This decline fits into a larger 7-day drop of 7.78%, with technical signals pointing to continued downward pressure. Here’s a quick summary of the main points:
- Technical Weakness (Bearish) – Price slipped below important moving averages and faces resistance near $0.02381
- Market Sentiment Shift – The Crypto Fear & Greed Index fell from 47 to 40, moving from neutral to a slightly more cautious mood
- Lower Trading Volume – Trading activity dropped 31.8% to $50.3 million, reducing buying momentum
In-Depth Analysis
1. Technical Weakness (Bearish Impact)
Current Situation: VeChain is trading at $0.0226, which is below key short-term averages (7-day SMA at $0.0246 and 30-day SMA at $0.0245). The Relative Strength Index (RSI) over 7 days is at 30.34, indicating the coin is oversold but hasn’t yet bounced back. The MACD histogram reading (-0.00011164) confirms that downward momentum is still in play.
What this means: Traders who follow technical charts likely sold when the price dropped below the $0.02350 support level, as noted in recent analysis (Crypto Patel). The 4-hour chart shows resistance at $0.02566, suggesting buyers aren’t confident enough to push prices higher right now.
What to watch: If VeChain can hold above and break through the 30-day moving average ($0.0245), it could signal a potential trend reversal.
2. Market Sentiment and Broader Trends (Mixed Impact)
Current Situation: The overall crypto market cap fell slightly by 0.19%, while Bitcoin’s dominance increased to 57.58%. The Altcoin Season Index rose by 9.52% to 69 but remains below the 75 mark that typically signals a strong altcoin rally.
What this means: Investors are shifting more capital toward Bitcoin and Ethereum (which saw a 13.01% rise in dominance), putting pressure on mid-sized coins like VeChain. VeChain’s larger drop compared to the market suggests there are also coin-specific reasons behind its decline.
3. Staking Program Participation (Neutral)
Current Situation: VeChain’s StarGate staking program, which started on July 1 with $15 million in rewards, helped fuel a 28% price rally in July. However, recent 24-hour staking volume of 5 billion VET (about $113 million) indicates participation is slowing down.
What this means: Early participants may be cashing out profits after the initial excitement, adding selling pressure. Although the program’s 9% annual percentage yield (APY) is attractive, it hasn’t been enough to counteract the overall market weakness.
Conclusion
VeChain’s recent price drop is driven by technical breakdowns, cautious market sentiment toward altcoins, and profit-taking from staking participants. While the RSI suggests the coin might be oversold and due for a bounce, reclaiming the $0.0245 level is key for any sustained upward momentum.
Key point to watch: Will VeChain’s partnership with Franklin Templeton (announced July 24) attract institutional investors and help the coin overcome current market challenges?
What could affect the price of VET?
VeChain’s price depends on key factors like adoption, changes in token economics, and overall market mood.
- Staking & Upgrades – The StarGate program’s $15 million rewards and the upcoming Hayabusa upgrade to Delegated Proof-of-Stake (DPoS) could reduce token supply.
- Enterprise Adoption – Partnerships with Franklin Templeton and BitGo, along with compliance with European regulations (MiCA), are attracting institutional interest.
- Real-World Asset (RWA) Competition – VeChain faces competition from projects like Hedera and Chainlink in the tokenized asset space.
Deep Dive
1. Staking Incentives & Protocol Upgrades (Positive Outlook)
Overview:
The StarGate staking program, launched on July 1, 2025, offers about 5.48 billion VTHO tokens (worth roughly $15 million) over six months as rewards for users who lock up VeChain tokens (VET) in amounts ranging from 10,000 to 15.6 million. At the same time, the Hayabusa upgrade (testnet expected in September 2025) will change VeChain’s consensus method from Proof-of-Authority to Delegated Proof-of-Stake (DPoS). This allows token holders to participate in network governance and earn variable block rewards.
What this means:
More staking means fewer tokens available for sale, which can reduce downward price pressure and improve network security. Historically, VET’s price rose 28% after the StarGate program started (CoinMarketCap). If the Hayabusa upgrade is approved, demand from validators and delegators could push prices higher.
2. Enterprise Partnerships & RWA Growth (Mixed Outlook)
Overview:
VeChain is working with Franklin Templeton to integrate its BENJI tokenized treasury platform, and BitGo is providing custody solutions aimed at institutional investors. However, VeChain faces competition from other projects like Hedera, which Wyoming has selected for stablecoin projects, and Chainlink, known for its oracle services.
What this means:
Real-world applications are key to long-term success, but competition is strong. VeChain’s compliance with the EU’s MiCA regulations and its partnership with Visa for the Stella Pay card (Bitcoinist) strengthen its position in Europe. Still, challenges remain in execution and market adoption.
3. Market Sentiment & Regulatory Clarity (Neutral Outlook)
Overview:
In July 2025, the U.S. Securities and Exchange Commission (SEC) clarified that staking protocols like VeChain’s are not considered securities, easing regulatory concerns. However, Bitcoin still dominates the market with 57.7% share, and the Fear & Greed Index at 40/100 indicates cautious investor sentiment toward altcoins.
What this means:
VeChain’s price is sensitive to overall crypto market liquidity. If Bitcoin falls below $110,000, altcoins like VET could face selling pressure. On the other hand, the expected approval of SEC-regulated staking ETFs later in 2025 could bring more institutional money into VeChain.
Conclusion
VeChain’s price outlook depends on how well it executes its technology upgrades, the impact of staking on token supply, and its success in gaining enterprise adoption amid competition. Technical indicators show the token is oversold with an RSI of 30.34, and the $0.022–$0.024 price range is a key support level. The big question is: Will the Hayabusa governance vote in September speed up decentralization and boost investor confidence?
What are people saying about VET?
VeChain’s community is divided between hope for a price breakout and concerns about a potential pullback. Here’s what’s currently trending:
- Optimism around Stargate Staking due to claims it reduces inflation
- Technical setups aiming for a breakout at the $0.024 resistance level
- Bearish signals warning of a possible 19% drop to the $0.0177 liquidity pool
Deep Dive
1. @CryptoMichNL: Stargate Staking Creates Scarcity
"VET’s inflation rate drops with Stargate – 5 billion tokens staked, creating scarcity."
– @CryptoMichNL (320K followers · 2.1M impressions · July 18, 2025, 3:51 PM UTC)
View original post
What this means: This is a positive sign for VeChain (VET) because staking locks up tokens, reducing the number available for trading. Out of a maximum supply of 859 billion tokens, about 0.58% are now locked in staking. However, the price has dropped about 10% over the past month, suggesting the market hasn’t fully reacted yet.
2. CoinMarketCap Post: Technical Breakout Setup
"Entry: $0.0231, Take Profit: $0.024 – higher lows indicate buyer strength."
– CMC Analyst (August 2, 2025 · 45K views)
What this means: This setup was cautiously optimistic, showing signs buyers were gaining control. However, it didn’t hold up after the post, with VET currently trading at $0.0226 (down 1.47% today), below the suggested resistance level of $0.0232.
3. Cryptonewsland: Bearish Target at $0.0177 Liquidity Pool
"Sellers dominate above $0.024 – untested $0.0177 pool likely target."
– Analyst Crypto Patel (June 15, 2025)
What this means: This is a bearish outlook. It fits with VeChain’s downward trend over the past 60 days (down 9.28%). A drop of about 22% from current prices would bring VET to its lowest levels seen in 2024.
Conclusion
The outlook for VeChain is mixed. On one hand, staking through Stargate is reducing token supply, which is generally positive. On the other hand, technical analysis shows resistance and potential for price declines. Keep an eye on the $0.022 support level, which has been tested multiple times since 2024, and watch if Stargate’s total value locked (TVL) grows beyond $140 million for clearer direction.
What is the latest news about VET?
VeChain is making steady progress by balancing enterprise partnerships with careful market strategies. Here are the latest highlights:
- Franklin Templeton Integration (August 14, 2025) – VeChain (VET) was added to a $780 million tokenized treasury fund, boosting its credibility with institutional investors.
- Solidity Workshop Launch (August 12, 2025) – A developer-focused training event aimed at growing VeChain’s smart contract ecosystem.
- BitGo Custody Partnership (July 29, 2025) – New tools for secure asset storage and staking designed for institutions.
Deep Dive
1. Franklin Templeton Integration (August 14, 2025)
Overview:
Franklin Templeton, a major investment firm, expanded its $780 million tokenized U.S. Treasury fund to include VeChain. This means users can now access tokenized government bills through VeChain’s blockchain platform, VeChainThor. The integration uses BitGo’s secure custody services and Keyrock’s liquidity solutions, marking VeChain’s entry into regulated traditional finance products.
What this means:
This is a positive development for VET because it shows growing institutional interest, which can stabilize demand by linking it to real-world financial products instead of just speculative trading. However, the price of VET only rose slightly (+1.2%) after the announcement, reflecting ongoing caution in the broader crypto market toward alternative coins.
(Coinspeaker)
2. Solidity Workshop Launch (August 12, 2025)
Overview:
VeChain hosted a live online workshop focused on Solidity, the programming language used for smart contracts. This event was designed to attract developers to build decentralized applications (dApps) on VeChain’s blockchain, which is compatible with Ethereum’s technology. The goal is to expand the variety of apps available before upcoming protocol upgrades called “Renaissance.”
What this means:
This is somewhat positive for VET because more developers building on VeChain can lead to a stronger ecosystem. Educational efforts like this improve the platform’s long-term potential, but they don’t usually cause immediate price changes without new apps launching.
(VeChain Official)
3. BitGo Custody Partnership (July 29, 2025)
Overview:
VeChain partnered with BitGo, a company known for secure digital asset storage, to offer insured custody services, multi-signature wallets, and staking infrastructure tailored for businesses. This partnership targets institutions interested in tokenized assets and real-world assets (RWAs).
What this means:
This is a positive step for VET because regulated custody solutions help remove security concerns that often hold back corporate adoption. BitGo provides $250 million in insurance coverage and compliance tools, aligning well with VeChain’s focus on enterprise clients. However, how much this partnership will boost adoption depends on the overall crypto market environment.
(CoinJournal)
Conclusion
VeChain’s recent developments—partnering with institutions, engaging developers, and enhancing custody options—show a clear move toward regulated, enterprise-level blockchain services. While these efforts strengthen VeChain’s position as a blockchain-as-a-service platform, VET’s price has dropped about 10% over the past month, reflecting ongoing challenges in the altcoin market. The key question is whether VeChain’s real-world use cases can overcome market skepticism in the coming months.
What is expected in the development of VET?
VeChain is moving forward with key updates:
- Hayabusa Mainnet (Q3 2025) – Updates how tokens work, changes staking rewards, and adjusts VTHO distribution.
- Upgraded Node System (Q3 2025) – Adds new staking levels and ways for validators to participate.
- Intergalactic Phase (2026+) – Focuses on connecting with other blockchains and expanding global use.
Deep Dive
1. Hayabusa Mainnet (Q3 2025)
Overview: As part of VeChain’s “Renaissance” plan, the Hayabusa phase will redesign the token system, reduce how much VTHO is created, and change how the network reaches agreement to encourage staking and activity. This update follows a vote by VeChain stakeholders in Q3 2025 (VeChain X post).
What this means: This is positive for VET because it aims to make the network more secure, reward people who hold tokens long-term, and attract developers with a more sustainable economic setup. However, there could be delays if approvals or technical challenges arise.
2. Upgraded Node System (Q3 2025)
Overview: VeChain will introduce new Economic Node tiers, letting users stake VET to become validators or earn rewards through different node types. The update also changes how VTHO is issued, rewarding those who actively support the network.
What this means: This is somewhat positive for VET since more staking options could boost demand. Success depends on how many users participate and how attractive the rewards are compared to other projects.
3. Intergalactic Phase (2026+)
Overview: This phase focuses on making VeChain work smoothly with other blockchains (like through JSON RPC integration) and scaling infrastructure to support businesses. Partnerships such as Wanchain’s cross-chain bridge (Bitcoinist) help build this interoperability.
What this means: This is promising for VeChain’s usefulness but still uncertain, as it depends on wider blockchain adoption and successful technical implementation.
Conclusion
VeChain’s roadmap aims to create a sustainable economy (Hayabusa) and expand connections with other blockchains (Intergalactic). With staking improvements underway and efforts to boost interoperability, the question is whether VeChain’s focus on regulated partnerships (like BitGo) will drive its next wave of adoption.
What updates are there in the VET code base?
VeChain’s latest updates focus on improving staking, enabling cross-chain connections, and enhancing tools for developers.
- StarGate Staking Upgrade (July 1, 2025) – Introduced NFT-based staking with a new Weighted Delegated Proof of Stake system.
- Wanchain Cross-Chain Bridge (May 21, 2025) – Connected VeChain with over 40 blockchains, including Bitcoin and Ethereum.
- Hard Fork Completion (July 1, 2025) – Upgraded the network for better decentralization and increased rewards.
Deep Dive
1. StarGate Staking Upgrade (July 1, 2025)
Overview:
The StarGate upgrade changed how staking works on VeChain by using NFTs (digital collectibles) to represent staking participation, replacing the old system that required identity verification (KYC) for validators. It uses a new consensus method called Weighted Delegated Proof of Stake (wDPoS).
Users can now stake as little as 10,000 VET, with options going up to 15.6 million VET. There’s a special six-month bonus pool of 5.48 billion VTHO tokens (about $15 million) to reward early participants. The VeChain Foundation made sure this system follows regulations by treating rewards as payment for network services.
What this means:
This upgrade is positive for VeChain because it makes staking more accessible, encourages users to hold their tokens longer, and meets high security and regulatory standards. Staking is easier thanks to NFTs, and users can earn higher rewards during the bonus period.
(Source)
2. Wanchain Cross-Chain Bridge (May 21, 2025)
Overview:
VeChain teamed up with Wanchain to create a decentralized bridge that allows VET, VTHO, and B3TR tokens to move smoothly across more than 40 different blockchains, including Bitcoin, Ethereum, and Solana. This bridge uses advanced cryptography called Secure Multiparty Computation (sMPC) and supports wrapped stablecoins like USDC and USDT on VeChainThor.
What this means:
This is a big step forward for VeChain because it opens up access to decentralized finance (DeFi) and business applications that need to work across multiple blockchains. Developers can build on a wider range of platforms, and users can move their assets easily without hassle.
(Source)
3. Hard Fork Completion (July 1, 2025)
Overview:
The hard fork finalized VeChainThor’s move to a fully decentralized network by removing KYC requirements for validators. It also added compatibility with Ethereum’s tools by supporting JSON-RPC and making VeChainThor equivalent to the Ethereum Virtual Machine (EVM). This makes it easier to use Ethereum development tools like Hardhat.
During the upgrade, some exchanges like ProBit Global paused deposits and withdrawals temporarily. After the upgrade, node operators received a 20% boost in their base rewards.
What this means:
This change is generally positive for VeChain because it increases decentralization and makes it easier for developers to build and migrate apps from Ethereum. However, node operators need to adjust to new reward structures.
(Source)
Conclusion
VeChain is evolving to focus on cross-chain compatibility, staking that meets regulatory standards, and better support for Ethereum-based development. The StarGate upgrade and Wanchain bridge make VET a strong player in cross-chain decentralized finance, while the hard fork strengthens its decentralized network. It will be interesting to see how these improvements affect VeChain’s adoption by businesses in the last quarter of 2025.