Aptos Price Forecast: APT steadies amid rising stablecoin supply and retail demand
|- Aptos holds steady after a 5% jump from the 200-day EMA on Sunday, extending the triangle breakout rally.
- The stablecoin supply on the Aptos network has increased by 500% over the last year.
- Record-high Open Interest signals a sharp increase in retail demand.
Aptos (APT) price is down by almost 1% at the time of writing on Monday, following the 5% gains from the previous day. The Parallel execution blockchain token is poised for further growth, driven by a breakout of the descending triangle pattern, elevated retail demand, and the rising issuance of stablecoins on the network.
Stablecoins move to the Aptos network
Aptos posted on Monday, sharing the increasing availability of stablecoins on the network. Typically, a rise in stablecoin market capitalization on a network refers to increased liquidity, supporting further Decentralized Finance (DeFi) activities.
Over the last 24 hours, Aptos has seen a stablecoin inflow of over $110 million, representing a 500% year-over-year (YoY) increase, which supports the above thesis. Out of the total increase, the 8x rise in USDT supply and the 2x rise in USDC sustain the duopoly.
Retail demand is on the rise for Aptos
A steady rise in retail interest remains a key driver of the Aptos rally. Derivative traders are acquiring long positions on Aptos, based on CoinGlass data showing futures Open Interest (OI) reaching a record high of $522.23 million, up from $492.57 million on Sunday. This increase in capital inflow in the Aptos futures reflects a risk-on sentiment among traders.
Aptos Open Interest. Source: CoinGlass
Aptos eyes further gains amid an impending bullish cross
Aptos trades above the 200-day Exponential Moving Average (EMA) at $5.166 as the uptrending 50-day and 100-day EMA prepare for a bullish cross. This indicates that the short-term recovery is gaining strength, outpacing the prevailing trend.
Additionally, the momentum indicators on the daily chart maintain a bullish tilt as the Relative Strength Index (RSI) reads 68, close to the overbought zone, signaling heightened buying pressure. Meanwhile, the Moving Average Convergence Divergence (MACD) indicator displays a steady uptrend in the MACD line, indicating a rise in bullish momentum.
If the APT rally holds momentum, it could surpass the overhead R3 resistance pivot level at $5.703, targeting the R4 level at $6.166.
APT/USDT daily price chart.
Looking down, the 200-day EMA at $5.166, moving close to the broken trendline of the descending triangle pattern, remains a crucial support.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.