ApeCoin Prediction as Key Token Retest Support Amid Bearish Pressure
ApeCoin plunged 15% the day before
NFT and Metaverse Fundamentals Continue to Drive Expansion
Stochastic Oscillator Shows APE in Oversold Zone
ApeCoin APE/USD plunged 15% the previous day to trade at $5.27. Although the reason for the decline remains unclear, it can be attributed to the continued market correction. A decline in bitcoin value has sent altcoins into jitter territory.
Currently, ApeCoin’s market cap has dropped to $1.6 billion at #35 in crypto rating. The token is buying and selling much less than its all-time high of $26 in April. Despite the many price drops, APE remains the token to watch in the NFT and Metaverse classes.
Launched in March 2022, APE is the native cryptocurrency that powers the Bored Ape Yacht Membership metaverse. BAYC is a collection of 10,000 photos of great apes. In contrast, APE is a standardized fungible ERC-20 token with a supply of 10 billion. The token derives strong fundamentals from the rapid advancement of the NFT sector.
Expansion is driven primarily by institutional adoption. There is an emergence of massive corporate themed NFTs. Designers, musicians, and online game companies also find the domain useful. For this reason, the APE could reach a long-term bullish momentum. Nonetheless, in the short-term charts, ApeCoin is going through bearish momentum.
APE retest $5.2 help
Technically, ApeCoin is under bearish stress as per the daily chart above. The token retested the help of $5.2. Before the current stage, the closest help is ready at $4.4. On the other hand, 5.8 is the instantaneous resistance and 6.8 is the long term resistance. Nevertheless, the alerts remain vague.
First, APE buys and sells below the 20 and 50 day moving averages. We can see consolidations on the averages in the event of a development reversal.
The Stochastic Oscillator is below 20, which means the market is oversold and could be due for a reversal. The value has remained oversold for the past 4 days. Nevertheless, a development reversal can only be confirmed with a bullish value sign.
ApeCoin plunged significantly 24 hours ago. The decline is tied to the general bearish momentum in the crypto. The stochastic indicator shows that the token is on the oversold zone and could be due to a reversal. APE consumers must anticipate the end of the bearish stress.