ApeCoin somewhat fell flat on investor anticipation since its ATH during April 2022 final sessions. The downside tendencies have kept the alternative token beneath the shackles of the $7.3 ceiling over the past three months.
The latest bearish setup breakout welcomed the red candles spree. APE has its price approaching its nearest demand territory at $4.3 – $4.7.
Near-term tendencies favor sellers as the Exponential Moving Average ribbons resort to a bearish overturn. Nevertheless, the bearish flag breakdown might secure easing ground in the mentioned support range. While publishing this post, APE changed hands at $4.785, dropping more than 7% within the last day.
ApeCoin Daily Timeframe
APE has seen gradual uptrends after a notable capitulation of more than 88% since its ATH. The alternative token has strived to secure higher resting levels from its June 15 lows. The latest revival efforts led to a climbing wedge on the 24hr chart. However, the hurdle at $7.3 saw the patterned breakout inflicting a bearish flag formation.
The subsequent bearish cross by the 20-50 Exponential Moving Average has revitalized the bearish momentum. Meantime, the alt witnessed a more than 74% surge in the daily trading volumes amid the daily loss. That suggested a massive bearish move. However, the overall trading volume maintained a plunging trend within the past week.
A possible closing beneath $4.7 might expose APE to the extended downside. Such development would see buyers looking to rejoin the market at $4.1 – $4.3. However, a potential rebound from the closest demand territory might see the alternative token retesting the ceiling at $5.1.
The RSI (Relative Strength Index) has hovered around the oversold region for more than a week. A bounce-back from the territory might clear the path for a short-term recovery.
Moreover, the MACD (Moving Average Convergence Divergence) couldn’t improve as it maintained bearish readings. Buyers should watch for a possible bullish cross before executing longs.
However, the OBV’s (on-balance volume) higher troughs diverged (bullishly) with APE’s price actions, keeping recovery hopes alive.
Considering the bearish flag break easing around the demand territory and the OBV bullish divergences, APE might retain its immediate levels. However, increased selling volumes plus the southbound Exponential Moving Average ribbons highlight a long-term bearish superiority. Possible targets would stay as discussed.
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