defi ·
Analyst Sets Downside Targets for VVV, TRAC, ARC AI Altcoins
Analyst Ali Martinez has detailed bearish technical setups for three AI altcoins: Venice Token (VVV), OriginTrail (TRAC), and AI Rig Complex (ARC), stating the sector is "in big trouble."
For Venice Token, Martinez observed what appears to be a head-and-shoulders pattern, characterized by three peaks with the middle one being the highest. The pattern's neckline is situated near $21. A four-hour close below this line would confirm a bearish reversal, potentially driving VVV to $13 or even $11.
OriginTrail is currently trading within a descending triangle, which is defined by falling highs constrained by a flat floor near $0.38. Should a four-hour close occur below this floor, a deeper retracement towards $0.26 could materialize.
ARC presents a different configuration. After a recent upward movement from its channel's low near $0.030, the token reached the mid-range around $0.060. A rejection at this level could send ARC back to $0.030, where support must hold. A daily close below that support level risks a decline to $0.014 or even $0.0075.
The analyst concluded his thread by stating, "These are warning signals."
At the time of writing, CoinGecko data indicated VVV was around $24, which is approximately 16% above its $21 neckline, following a 30-day drop exceeding 18%. TRAC was trading near $0.36, already under its $0.38 floor after peaking near $0.41 in the preceding 24 hours.
ARC was positioned around $0.06, at the mid-range level where the analyst identified rejection risk, despite achieving a 44.5% weekly gain while most altcoins declined.
Market participants should note that this analysis occurs amid broader market shifts, as BTC fell to a five-week low of $79,100 on Saturday before recovering to approximately $81,000, with the total crypto market cap dipping below $2.7 trillion.
These technical assessments highlight the specific structural vulnerabilities identified by market observers within these digital assets, suggesting potential downside risks for institutional attention.
Why it matters
These technical warnings suggest potential downward pressure on specific AI-related tokens, which is relevant for investors tracking sector-specific risks. The analysis provides concrete price levels to watch as market sentiment shifts within the broader crypto landscape.
