VIRTUAL eyes $1.33 – Why traders must watch THIS level next

ambcryptoPublished on 2026-01-24Last updated on 2026-01-24

Abstract

The crypto AI sector has seen significant losses over the past week, with Virtuals Protocol (VIRTUAL) declining by 15.71%. Despite the drop, technical analysis suggests this retracement may present a buying opportunity. VIRTUAL retraced toward the key demand zone of $0.73–$0.76, as anticipated. Although short-term momentum appears bearish—with price below key moving averages and negative capital flow—the early January breakout above $0.73 and $1.05 indicated bullish shift. As long as the token holds above the $0.758 retracement level, traders may consider buying, targeting $1.19 and $1.33. Exchange netflows have mostly favored sellers, but price action remains the more reliable indicator.

The crypto AI sector tokens have taken a beating over the past week. CoinMarketCap data revealed that this sector’s leading tokens have all registered sizeable losses over the past week.

Except for Story [IP] (-7.53%), the top ten tokens within this sector have noted double-digit percentage losses, with Artificial Superintelligence Alliance [FET] the lowest at -16.84%.

Virtuals Protocol [VIRTUAL] was not performing much better, recording a 15.71% dip over the past week. Yet, from a technical analysis perspective, this pullback is welcome.

A buying opportunity in sight?

The 1-day timeframe saw a deep retracement after the swift rally to $1.19 made in the first week of January. In a report earlier this month, AMBCrypto had highlighted this retracement toward $0.75 as a likelihood.

Back then, the $0.73-$0.76 area was seen as a key demand zone. This remained true at present, though the short-term momentum and recent capital flows painted a bearish picture.

The price sank below the 20 and 50-day moving averages, and the CMF had moved below -0.05 to signal heavy capital flows out of the market.

Exchange flows shake bullish belief

Apart from the technical indicators, the exchange netflows metric also appeared to favor the sellers. Over the past six months, the exchange flows (7DMA) have been predominantly positive. There were brief periods of outflows, such as August, November, and a couple of days ago.

The bearish argument was that holders continued to send VIRTUAL tokens to exchanges to exit their positions. It signaled a lack of market conviction.

Traders must buy now

While the netflows and indicators might be persuasive, the price action was more reliable. The VIRTUAL breakout in early January, past the $0.73 and $1.05 swing levels from the multi-month downtrend, represented bullish intent.

Until the 78.6% retracement level at $0.758 is ceded to the bears, swing traders can maintain this bullish bias. The deep retracement represented a buying opportunity, targeting $1.19 and $1.33.


Final Thoughts

  • The VIRTUAL structure has shifted bullishly after the early January rally, and it remains bullish.
  • The token established a short-term range between $0.8 and $0.88 over the past week that lower timeframe traders can keep an eye on.

Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion.

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Related Questions

QWhat is the current price trend of VIRTUAL and the broader crypto AI sector tokens over the past week?

AThe crypto AI sector tokens have taken a significant beating, with most top tokens registering double-digit losses. VIRTUAL specifically recorded a 15.71% dip over the past week.

QAccording to the technical analysis, what key price area is identified as a demand zone for VIRTUAL?

AThe $0.73-$0.76 area is identified as a key demand zone, with the 78.6% retracement level at $0.758 being a critical level to watch.

QWhat do the exchange netflows for VIRTUAL indicate about market sentiment?

AThe exchange netflows metric, which has been predominantly positive over the past six months, indicates that holders are sending tokens to exchanges to exit their positions, signaling a lack of market conviction and favoring sellers.

QDespite the bearish indicators, why does the article suggest that traders should consider buying VIRTUAL?

AThe article suggests buying because the price action, specifically the breakout past $0.73 and $1.05 in early January, showed bullish intent. The current deep retracement is seen as a buying opportunity with targets of $1.19 and $1.33, as long as the price holds above $0.758.

QWhat is the short-term trading range that lower timeframe traders should watch for VIRTUAL?

AThe token has established a short-term range between $0.8 and $0.88 over the past week that lower timeframe traders can keep an eye on.

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