Why did the price of VET fall?

VeChain (VET) dropped 0.68% in the last 24 hours, underperforming the overall crypto market, which was mostly flat with a 0.34% gain. Earlier this month, upgrades and new partnerships helped boost VET, but recently, factors like fading excitement from its Kraken exchange listing and lower trading activity caused the price to dip. Here are the main reasons:

1. Profit-taking after price jump – VET jumped 9% on January 6 after being listed on Kraken, leading some traders to sell and take profits.
2. Lower trading volume – VET’s 24-hour trading volume fell by 34%, reflecting a broader slowdown in crypto market activity.
3. Technical resistance level – The price hit a key resistance point at $0.0123 and was pushed back down, signaling bearish pressure.

Deep Dive

1. Profit-Taking After Rally (Negative Impact)

What happened: VET’s price rose 9% to $0.013 on January 6, following its listing on Kraken (which added USD and EUR trading pairs) and a positive outlook for 2026. However, the price couldn’t hold these gains and dropped to $0.0118 as traders sold to lock in profits.

Why it matters: While the Kraken listing made VET easier to buy and sell, it didn’t bring enough ongoing buying interest to keep prices up. Historically, VET tends to lose 50-70% of the gains it makes after exchange listings within a few days. Also, with the Altcoin Season Index rising from 18 in December 2025 to 34, traders are shifting their focus to riskier, higher-potential assets.

What to watch: Keep an eye on whether VET can stay above the $0.0114 support level, which was its low in December 2025. If it falls below this, automated selling could push the price down further.

2. Lower Trading Volume (Mixed Impact)

What happened: VET’s trading volume over 24 hours dropped to $14 million, down 34%. At the same time, total crypto market spot trading volume fell 56% to $44 billion.

Why it matters: When trading volume is low, prices can swing more dramatically. VET’s turnover ratio (which compares volume to market size) is 1.38%, indicating the market is somewhat fragile. Many traders are focusing on Bitcoin, which holds 58.42% of the market dominance, especially since the Fear & Greed Index is neutral at 40 out of 100.

3. Technical Resistance (Negative Impact)

What happened: VET’s price ran into resistance at the 23.6% Fibonacci retracement level, which is $0.0123. Other technical levels like the 7-day moving average ($0.0121) and a pivot point ($0.01176) also acted as price ceilings.

Why it matters: Although the MACD indicator showed a slight positive signal, the Relative Strength Index (RSI) at 49.43 suggests weak momentum. Until VET can break above $0.0123, sellers are likely to keep control in the short term.

Conclusion

The recent dip in VET’s price reflects a cooling off after the January 6 rally, made worse by overall lower liquidity in the crypto market and unsuccessful attempts to break key resistance levels. VeChain’s long-term prospects remain supported by its plans for enterprise adoption, including compliance with European regulations and tokenizing real-world assets. However, short-term traders are waiting for clearer signals before jumping back in.

Key levels to watch: Can VET hold the $0.0114 support? If it falls below this, it might test the December 2025 low near $0.010. On the other hand, a close above $0.0123 could spark renewed buying interest and a potential price rally.

What could affect the price of VET?

VeChain’s price is influenced by a balance between growing business use and overall market mood.

1. EU Compliance Rules – Starting in 2026, Digital Product Passports could increase demand for VeChain’s supply chain tools.
2. Stargate Staking Program – A $15 million rewards plan might lower selling pressure and make VTHO tokens more scarce.
3. Competition in Real-World Assets (RWA) – New blockchain platforms are challenging VeChain’s lead in tokenizing real-world assets.

In-Depth Look

1. EU Compliance Rules (Positive Outlook)

What’s Happening: The European Union will require companies to provide Digital Product Passports (DPPs) by July 2026. These passports improve transparency across supply chains for over 30 product types. VeChain has already run more than 300 pilot projects with big names like LVMH and BMW and teamed up with DNV GL to help companies meet these rules.

Why It Matters: Businesses needing blockchain solutions for these passports might choose VeChain’s platform, which would increase demand for VeChain’s tokens (VET and VTHO). For example, when Walmart China adopted VeChain in 2021, the price of VET jumped 68% (VeChain).

2. Stargate Staking Program (Mixed Effects)

What’s Happening: In December 2025, VeChain updated its system with the Hayabusa upgrade. Instead of passively earning VTHO tokens, users now stake their tokens actively, and unclaimed rewards are burned (destroyed). Annual yields currently range from 5% to 12%, with about 5 billion VET tokens locked in special StarGate NFTs.

Why It Matters: This change reduces the creation of new VTHO tokens by about 40%, which could help keep transaction fees stable. However, only 101 out of 125 validator spots are filled, which might slow network growth. Watching how quickly the 5.3 billion VTHO reward pool burns will be important (CoinMarketCap).

3. Competition in Real-World Asset Tokenization (Challenges Ahead)

What’s Happening: VeChain is currently ranked 8th in real-world asset (RWA) projects, behind platforms like Chainlink and Hedera. Competitors like Axelar, with its cross-chain bridges, and Centrifuge, managing a $300 million tokenized debt portfolio, are gaining ground.

Why It Matters: VeChain’s Proof of Authority (PoA) system offers compliance benefits, but rivals with broader interoperability (such as Wanchain’s bridge connecting 40 blockchains) could attract more institutional users. The price of VET has a strong 0.82 correlation with the RWA sector’s performance over the past 90 days (Santiment).

Conclusion

VeChain’s future price depends on turning new regulations into real blockchain activity and holding its position in the RWA market. The rollout of Digital Product Passports in 2026 and how much VTHO gets burned will be key factors. The big question: Will business transactions become the main driver of VET’s price instead of speculative trading?

What are people saying about VET?

VeChain’s conversation is a mix of steady business use and trader uncertainty as its price hovers near important support levels. Here’s the key takeaway:

1. VeChain highlights real-world applications and upcoming improvements to move away from purely speculative trading.
2. Experts see staking as a way to reduce token supply, which could boost VET’s value.
3. Business adoption is praised, but slow growth and competition from other projects may slow momentum.
4. Price charts show warning signs, with resistance levels capping gains and a possible drop to $0.0075.

Deep Dive

1. @vechainofficial: Real-world use focus amid speculative market — bullish

"Speculation is not a use case... VeBetter initiative incentivizes sustainable behaviors with tokens."
– @vechainofficial (626K followers · 1.4M impressions · 2025-11-17 13:25 UTC)
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What this means: This is positive for VET because VeChain is concentrating on practical applications like supply chain management and sustainability. Partnerships with companies like Lululemon and BMW support long-term growth, making it less about quick speculation.

2. @CryptoMichNL: Stargate Staking could reduce VET supply — bullish

"Valuation similar to a year ago... Stargate Staking reduces inflation, adding buy pressure."
– @CryptoMichNL (817K followers · 200K impressions · 2025-05-14 13:29 UTC)
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What this means: This is good news for VET because staking locks up tokens, lowering the available supply. If demand stays steady, this scarcity could push prices higher, especially with a $15 million rewards pool encouraging staking.

3. @Nicat_eth: Business adoption strong but slow — mixed

"VET strength comes from real-world use... but ecosystem activity needs to accelerate for price re-ignition."
– @Nicat_eth (7.5K followers · 1.5K impressions · 2025-12-02 06:21 UTC)
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What this means: This is a mixed outlook for VET. Its real-world applications in logistics and carbon tracking are strengths, but slow adoption and competition from other real-world asset projects may delay price gains.

4. @Manofbitcoin: Price charts suggest downside risk to $0.0075 — bearish

"Not a bullish chart... Resistance $0.0154–$0.0208 keeps downside pressure alive."
– @Manofbitcoin (8.7K followers · 10K impressions · 2025-12-20 23:20 UTC)
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What this means: This is a warning for VET holders. If the price can’t break above resistance between $0.0154 and $0.0208, it could fall further toward $0.0075, showing weak technical momentum.

Conclusion

The outlook on VeChain is mixed. Supporters focus on its practical uses and the potential for staking to reduce supply, while skeptics point to technical weaknesses and slow business adoption. Keep an eye on whether VET can hold the $0.010 support level or if it breaks lower, confirming bearish trends.

What is the latest news about VET?

VeChain is gaining momentum through new exchange listings and growing use by businesses, while preparing to meet upcoming European Union regulations. Here are the key updates:

1. Kraken Listing (January 2, 2026) – VeChain’s VET token is now available for trading against the US Dollar (USD) and Euro (EUR), improving liquidity.
2. 9% Price Increase (January 6, 2026) – VET’s price rose to $0.013, its highest in four weeks, supported by a broader altcoin market rally.
3. Partnership with Franklin Templeton (2025) – Institutional support for tokenizing real-world assets on VeChainThor blockchain.

In-Depth Look

1. Kraken Listing (January 2, 2026)

What happened:
Kraken, a major cryptocurrency exchange, added VeChain’s VET token to its trading platform with USD and EUR pairs. This move follows VeChain’s efforts in 2025 to make its token more accessible to institutional investors, including partnerships with custody providers like BitGo.

Why it matters:
This listing improves VET’s liquidity and increases exposure to both retail and institutional traders. Historically, new exchange listings lead to short-term spikes in trading volume. Currently, VET’s turnover ratio is 1.38%, indicating moderate liquidity after the listing. (CoinMarketCap)

2. Altcoin Rally & Strategic Partnerships (January 6, 2026)

What happened:
VET’s price jumped 9% to $0.013, helped by Bitcoin’s rise toward $95,000 and VeChain’s 2026 plan focused on practical, utility-driven growth. Partnerships with Keyrock (which provides liquidity) and Franklin Templeton (which supports tokenizing real-world assets) aim to expand VeChain’s use in business applications.

Why it matters:
This is a cautiously optimistic sign. While the price increase follows overall market trends, long-term growth depends on how quickly VeChain can increase real-world adoption. VET is still 73.6% below its 2025 peak, showing some ongoing doubts about the return on investment from enterprise blockchain projects. (CoinJournal)

3. EU Digital Product Passports (December 30, 2025)

What happened:
VeChain is set to play a major role in the European Union’s 2026 requirement for Digital Product Passports (DPPs), which use blockchain technology to improve supply chain transparency.

Why it matters:
This is a strong long-term opportunity. VeChain already supports over 300 supply chain projects in industries like luxury goods and agriculture, aligning well with new regulations. The market for DPPs is expected to grow from $2.9 billion to $44.3 billion by 2034, offering VeChain a clear path for growth driven by compliance needs. (Crypto.news)

Conclusion

VeChain’s recent exchange listings and regulatory developments strengthen its position in the enterprise blockchain space. However, its price still depends heavily on overall crypto market trends and how quickly businesses adopt its technology. With EU compliance deadlines approaching, the key question for 2026 is whether VeChain can turn its supply chain leadership into steady network use and increased demand for VET tokens.

What is expected in the development of VET?

VeChain’s 2026 roadmap focuses on expanding cross-chain capabilities, improving token economics, and providing better tools for developers.

1. Intergalactic Phase (2026) – Full compatibility with Ethereum’s system and smooth connections between different blockchains.
2. Stargate Program Upgrades (2026) – Better staking rewards and new node levels.
3. Ecosystem Growth – New partnerships and apps focused on sustainability.

Deep Dive

1. Intergalactic Phase (2026)

Overview:
This final stage of VeChain’s Renaissance plan aims to fully support the Ethereum Virtual Machine (EVM), which is the technology behind Ethereum smart contracts. It will also enable easy communication between VeChain and other blockchains using JSON-RPC technology (VeChain). This means developers can move Ethereum-based apps to VeChainThor with little effort. Bridges like Wanchain, launched in July 2025, already connect VeChain’s tokens (VET/VTHO) to over 40 other blockchains.

What this means:

• Positive: Makes it easier for developers to build on VeChain and increases the flow of assets.
• Potential Challenges: Security checks for cross-chain connections or regulatory issues could cause delays.

2. Stargate Program Upgrades (2026)

Overview:
After the Hayabusa upgrade in December 2025, VeChain will improve its Delegated Proof-of-Stake (DPoS) system. This includes introducing different levels of Economic Nodes and a 5.3 billion VTHO reward pool. The new StarGate 2.0 will add Delegator NFTs, making staking simpler and allowing users to track their earnings in real time (CoinMarketCap).

What this means:

• Positive: Higher rewards (currently around 10-15% APY) could attract long-term investors.
• Neutral: Moving from automatic VTHO earnings to active staking might confuse some casual users at first.

3. Ecosystem Growth

Overview:
VeChain is focusing on real-world use cases through partnerships such as:

• Sustainability: Working with 4ocean to tokenize waste management efforts.
• Payments: Collaborating with Stella Pay and $B3TR cards to let users spend rewards easily.
• Institutions: Ensuring compliance with European regulations (MiCA) and integrating BitGo custody services (Decrypt).

What this means:

• Positive: Aligning with regulations and gaining enterprise users could boost demand for VET and VTHO.
• Potential Challenges: Economic downturns might reduce corporate spending on blockchain projects.

Conclusion

VeChain’s 2026 roadmap combines important technical upgrades like Intergalactic and StarGate 2.0 with expanding its ecosystem through partnerships focused on sustainability and regulation. While the current market values VeChain cautiously (with a fully diluted valuation of about $1.02 billion), successful cross-chain integration and increased staking could make VET a key player in Web3 infrastructure.

What to watch: Will VeChain’s Ethereum compatibility attract developers despite growing competition from other Layer 1 blockchains?

What updates are there in the VET code base?

VeChain made major updates to its technology in late 2025, focusing on making the network more decentralized, improving connections with other blockchains, and enhancing how tokens are managed.

1. Hayabusa Consensus Overhaul (Dec 2025) – Switched to a Delegated Proof-of-Stake (DPoS) system, ending automatic VTHO rewards.
2. Wanchain Cross-Chain Bridge (July 2025) – Connected VeChain to over 40 other blockchains.
3. StarGate 2.0 Staking Upgrade (Dec 2025) – Added NFT-based delegation and new staking tiers.

Deep Dive

1. Hayabusa Consensus Overhaul (December 2, 2025)

What happened: VeChain replaced its old Proof-of-Authority system with Delegated Proof-of-Stake (DPoS). Validators now need to stake 25 million VET tokens to participate. VTHO tokens, which are used to pay transaction fees, are only generated by actively staking VET.

Technical changes:

• Stopped passive VTHO token creation; now VTHO supply depends on actual network use.
• Introduced dynamic controls on token inflation and burns 100% of base fees, similar to Ethereum’s EIP-1559 upgrade.
• Validators enter the network in a first-come, first-served queue.

Why it matters:
This change is positive for VET holders because staking directly affects how many tokens are available, potentially making VET more valuable. It also helps keep transaction fees stable for businesses using the network, while rewarding active participants.

(Source)

2. Wanchain Cross-Chain Bridge (July 10, 2025)

What happened: VeChain integrated with Wanchain’s decentralized bridge, allowing VET and VTHO tokens to move between VeChain and more than 40 other blockchains, including Ethereum, Bitcoin, and Solana.

Technical changes:

• Supports wrapped versions of popular stablecoins like USDT and USDC on VeChainThor.
• Uses Secure Multiparty Computation to enable secure, non-custodial token swaps.

Why it matters:
In the short term, this doesn’t directly affect VET’s price but opens up new opportunities. Over time, it could expand VeChain’s role in decentralized finance (DeFi) and enterprise blockchain solutions by enabling seamless cross-chain interactions.

(Source)

3. StarGate 2.0 Staking Upgrade (December 2, 2025)

What happened: VeChain updated its staking system with new features like Delegator NFTs and introduced Dawn Economic Nodes, which require a minimum stake of 10,000 VET.

Technical changes:

• Made delegation easier through integration with the VeWorld wallet.
• Added real-time tracking of annual percentage yields (APY) and profiles for validators.

Why it matters:
This upgrade is good news for smaller VET holders because it lowers the barrier to participate in staking. The large VTHO reward pool (5.3 billion tokens, worth about $15 million) encourages users to hold their tokens longer and support the network.

(Source)

Conclusion

VeChain’s upgrades at the end of 2025 focus on making the network more decentralized, improving connections with other blockchains, and rewarding users. Moving to DPoS and adding cross-chain bridges sets VET up for growth in enterprise use. The staking improvements aim to get more people involved. With VeChain now compliant with MiCA regulations, it will be interesting to see how this boosts institutional adoption in 2026.