ApeCoin bulls need to wait for profit-taking before APE price begins its upward trajectory to this level
|- Apecoin price is already down over 10% since last Saturday.
- APE still needs to drift lower in search of vital support.
- Expect support to kick in either 5% or 10% lower than current price.
Apecoin (APE) price is in no condition just yet for a bounce higher as clearly the rejection from the past weekend is still giving bulls a hangover. The decline came on the back of another rejection at the 200-day Simple Moving Average (SMA), which triggered a very broad fade that already carries over a 10% loss from top to bottom. Support is set to kick in either at the monthly support or at the low from March.
Apecoin bulls await that RSI bounce before buying
Apecoin price could be a copy of the Indiana Jones opening scene in which our hero needs to run for his life as a giant stone boulder nearly paves him into the ground. Bulls must be thinking the same since this weekend as the slide is ongoing for a fourth day in a row now. With a decline that bears more than a 10% loss from top to bottom, not one bull would be mad enough to start buying already.
APE is thus primed for another leg lower with two scenarios on the table for bulls to decide where to enter at. The first is at the monthly S2 support level near $3.85, which triggers a technical bounce off that area. The second entry level would be at the low of March around $3.70 and would make more sense as the Relative Strength Index (RSI) by then will have traded into the oversold area as well by then.
APE/USD 4H-chart
Clearly, sentiment has been changing as US equities are rallying higher in early morning trading. A similar pattern in Europe as risk-on is clearly the favored sentiment for this Tuesday. This could be enough for bulls to start buying in the blind and see APE spiral higher toward $4.27 by the end of the US session later this Tuesday.
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