VeChain Coin Pump: Why is the Vet Coin Pumping ?

VeChain coin price is at  65% in the last seven days, reaching the value of $0.04888 at the time of writing. Talking about the last 24 hours, its price is up by 18%, and a massive increase of 384.71% is seen in its trading volume, making it number 1 in the highest percentage of profit on the CoinmarketCap.

These gains are attributed to the Bitcoin price surge to $52,000 as the whole crypto market is greedy at 76. VeChain (VET) has tracked the same trajectory as Bitcoin, declining on January 11 amid the market-wide sell-off following the approval of the ETF and then establishing a local low of $0.0248 on January 23.

Bitcoin has been bullish from the last week, and impressive growth is visible in the overall crypto market. 

What is VeChain, and Why is it Pumping This Much?

VeChain is a smart contract compatible blockchain that can enhance the supply chain. It is working on the mission of mass adoption of blockchain worldwide. Its native token VET is the mediator of exchange and transaction on the VeChain blockchain. 

It’s not the first time that VET has exploded. It surged by 42% just two months back when we saw it peaking at $0.002542. Compared to today’s data, it seems like nothing. So why is it happening? 

VeChain’s Recent Updated Plays A Role In Its Recent Sucess

In the last two months, VeChain has shared multiple upgrades related to its blockchain. Many of these upgrades reached the user’s interest, and that’s why most people connected with the VeChain. Some of these features are said to be in direct competition with the Ethereum blockchain. The VeChain team highlighted how some Ethereum functions are limiting and how they can cover them with the VeChain two-token system.

It has features like meta transaction, PoA consensus mechanism, and dual token economy that are said to be what makes it different from other blockchains. 

1. VeChain dApp Store : Earlier, they had introduced their audience to their plans to launch dApps in the Veworld wallet. With this, it will get simpler for developers to build any dApp on the blockchain. They created a separate tab, “Discover,” in the wallet where users can find and interact with their favored apps.
   
2. VeChain New Wallet : Last year, VeChain introduced its users to its new wallet, VeWorld, which replaced the previous version VechainThor mobile wallet. At the same time, they highlighted some new features, including instant node transfer options between the addresses and direct private sale proposals. This feature helps in increasing the accessibility and usability of node holders.
   
3. dApp Kit : The team has released dApp Kit, a library and set of tools that can streamline the development of dApps on the blockchain. This kit will boost the dApp creation and its usage on the network.

Account Abstraction (ERC-4337) Integration 

Account Abstraction was the most recent upgrade that has happened with VeChain and is primarily responsible for this sudden hike in VET prices. On 14th Feb, Vechain posted on X about making Account Abstraction (AA) live. AA enables programmable smart contracts for improved security and better user experience. This abstraction will provide a clear and concise overview of the functionality without the interference of unnecessary details. 

Earlier, all the interactions on Vechain happened through the externally owned account (EOA) but now moved to a more programmable approach. 

Conclusion

Vechain coin pumped as it has closely mirrored the movement of Bitcoin. This VeChain pump shows that, even in the middle of the famous cryptocurrency bull run, it may experience unexpected spikes in speculation and volatility. Although skilled traders might try to profit from these strong rallies, long-term supporters see these rising prices as evidence of VeChain’s long-term stability.

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