- Venice Token price has gone parabolic this month as its burn rate rises.
- The value of the incinerated VVV tokens has continued rising this month.
- VVV is in the markup phase of the Wyckoff Theory.
Venice Token price has embarked on a major bull run that has pushed it to its highest level since January last year. VVV has risen in the last three consecutive weeks and is up by nearly 800% from its lowest point this year. This rally may continue as the token burn rate rises and as it remains in the markup phase of the Wyckoff Theory.
Venice Token Price Rallies Amid Rising Token Burn
The VVV token price has risen over the past few days as its circulating supply has dropped amid token burns. Data on the website shows that more VVV tokens have been incinerated this month so far than in the whole of March.
Venice Token has burned 16.6k tokens, currently valued at over $123k in April. Its token burn in March was valued at over $116k, higher than the $70k in February. The network has now burned 33.7 million tokens, currently valued at over $160 million, since its inception.
Token burns are often compared to share buybacks because they aim to reduce the number of tokens in circulation. This, in turn, leads to a higher staking yield, with VVV having an average staking return of 18%. In contrast, Ethereum yields 3%, while most tokens yield less than 10%.
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Venice Token is also rallying amid the ongoing rising demand and valuation for AI platforms. Anthropic is now generating an annual run rate (ARR) of over $30 billion, while its valuation is expected to surge ahead of its IPO. The same is happening with OpenAI, which analysts expect to happen this year.
For starters, Venice AI is similar to these AI providers, with the only difference being its focus on privacy features. It also incorporates other models, including those made by ChatGPT and ByteDance.
VVV Price Technical Analysis: Wyckoff Theory Points to More Gains
The weekly chart shows that the VVV price has rebounded in the past few months as BanklessTimes predicted. This rebound occurred after the token remained within a narrow range between $0.93 and $4.7 from February last year to February this year.
This narrow range is a sign that it was stuck inside the accumulation phase of the Elliot Wave pattern. The ongoing rebound has now moved into the mark-up phase, characterized by the Fear of Missing Out (FOMO).
The Average Directional Index (ADX) has jumped to 40, a sign that the bullish trend is gaining momentum. Also, the Relative Strength Index (RSI) has jumped to the overbought level of 70.
Therefore, the token will likely continue rising as bulls target the key resistance level at $15. The risk, however, is that the coin may reverse in the coming weeks as it moves to the distribution and markdown phases of the Wyckoff Theory.
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