Apecoin Price Near 2-month Low; Will Ape Price See a Rebound?

Apecoin price is down by 6% (approx.) on a weekly basis and is trading near its two month-low indicating weakness. APE price forming lower low swings and drops below the 50- and 200-day EMA showcase a downtrend on a positional basis. However, the price sustained at the $3.500 support and attempted to bounce back, but it seems the bulls lack momentum on the higher levels. 

Apecoin price trading at $4.000 with an intraday rise of 0.28% and 24 hour volume to market cap ratio at 0.0973. The pair of APE/BTC is trading at 0.00014624 with an intraday decline of -0.21% which shows mild divergence between both the pairs. In January, Apecoin price performed well and rallied 62% (approx) from its yearly demand zone.

During the rally, APE price managed to climb above both important EMAs and witnessed a massive spike in the buying volume. It created a hope for the continuation of the uptrend but sadly bulls failed to give the follow up momentum. The rally was halted at $6.400 and APE price witnessed minor profit booking from the higher levels. Therefore, $6.400 will act as a strong hurdle in the coming months.

Apecoin Price Impacted by Global Sell Off

Apecoin price consolidated for a few weeks in the narrow range between $5.00 to $6.400 and tried multiple times to break the higher range but got rejected. Later, at the beginning of March, Global market sentiment started becoming bearish which negatively impacted APE price and it broke the lower range. It also slipped below both EMAs which invited further decline; ApeCoin price lost all its previous gains.

Apecoin price took support at $3.500 and formed a bullish engulfing pattern. APE price surged 19% (approx) in a single day and attempted to climb the 50-day EMA. However, the attempt failed and prices were reversed in the downward direction. 

Will APE Price See a Rebound?

Apecoin price might see a rebound in the coming few weeks if the bulls are able to sustain the price above $3.500. However, APE price will gain momentum only when it breaks out of the 200-day EMA. Till then, it is expected to consolidate in the range between $3.500 to $5.000. On the other hand, if APE price drops below $3.500 support, then the bears may try to pull it further down toward the yearly lows of $2.360.

Conclusion

Apecoin price is down by 38% from its recent peak at $6.400 losing all its previous gains. However, APE price defends the $3.500 support and shows signs of base formation. Technical analysis suggests that the rebound in Apecoin price is possible if the bulls hold the $3.500 level despite a sell-off. However, if the price drops below $3.500, the bears may try to retest yearly lows.

Technical levels

Resistance levels : $5.000 and $6.400

Support levels : $3.500 and $2.630

Disclaimer

The views and opinions stated by the author, or any people named in this article, are for informational purposes only, and they do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss. 

Steve Anderson is an Australian crypto enthusiast. He is a specialist in management and trading for over 5 years. Steve has worked as a crypto trader, he loves learning about decentralisation, understanding the true potential of the blockchain.

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