Disclaimer: The findings of the following analysis are the only opinions of the writer and should not be considered investment advice

Since May 1, ApeCoin (APE) has seen a powerful sell-off with a string of red candles pulling the alt towards the $5.1 baseline. Then, after resonating with its peer altcoins, APE saw an uptick after a slight rise in buying pressure.

While the current price range offers relatively high liquidity, APE could continue its sluggish phase around $7-$9 before committing to a trend.

As of going to press, the altcoin was trading at $8.52, up 2.65% in the past 24 hours.

APE 4 Hour Chart

Source: TradingView, APE/USDT

After an exponential jump after launch, the crypto has fluctuated between the $10-$16 range for more than a month. The extended bull run lined up a series of green candles, achieving a whopping ROI of around April 18-28. 155%.

Since reaching its life milestone around the $27.6 level, the coin has been in constant devaluation as it found newer lows. A retracement of more than 81% from the April highs took APE to a low of $5.1 on May 11. Now the recent recovery from this low has been bogged down by the Point of Control (POC, red).

As APE broke out of its bearish pennant, bulls entered a low volatility phase as evidenced by the short body candlesticks. A sustained close below the $8.4-$7.9 range would position the downward alt towards the $6-7.3 level.

To change the current story, the bulls had to topple the POC alongside resistance from the Pitchfork’s lower bound. To do this, they have yet to ramp up their purchasing volume and break the tight phase.

rode

Source: TradingView, APE/USDT

The Relative Strength Index repeated the existence of low volatility as it struggled to break the 52 resistance. A breach above this level would give the alt a much-needed boost to continue its series of higher dips on the map.

However, with the Aroon up (yellow) facing south and crossing the Aroon down (blue), price behavior indicated a bearish edge. So, unless the bulls increase their buying volume to jump above the POC, the bears would aim for more.

Conclusion

Given the short candlesticks near the POC, the alt could see a prolonged squeeze in the $7-$9 range. Should the bulls lose the 20 EMA and the $7.9 support, the bears would aim to pull the price into the $7-$7.3 range before giving buyers some wiggle room.

Finally, investors/traders need to consider broader market sentiment and developments in the chain to make a profitable move.



This post ApeCoin: Mapping Key Entry and Exit Levels for APE Traders

was published first on https://ambcrypto.com/apecoin-mapping-key-entry-and-exit-levels-for-ape-traders/

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