ApeCoin price climbs 5% as gaming narrative revitalizes social metrics for APE

ApeCoin (APE) price is nurturing a recovery rally after it consolidated in a horizontal motion. It comes even as altcoins reacted to the spot Bitcoin (BTC) exchange-traded funds (ETFs) theme. With the metaverse and gaming narrative gaining steam, APE appears to be finding tailwinds to resist the growing overhead pressure.

Also Read: ApeCoin price presents a buying opportunity before 65% rally

ApeCoin price eyes $1.60

ApeCoin (APE) price faces overhead resistance due to the soon-to-be confluence between the 100 and 200-day Simple Moving Averages (SMAs) at $1.48 and $1.50, respectively, reinforced by the 50-day SMA at $1.57.

If the bulls increase their buying power, ApeCoin price could push north to shatter the resistance due to the SMAs, with a possible extension to the $1.80 resistance level. A move to this blockade, last tested on December 28, would denote nearly 40% in gains above current levels.

APE/USDT 1-day chart

Meanwhile, Santiment data shows notable spikes in social metrics for APE, which is likely the result of the gaming and metaverse themes that are gaining momentum. With this sector’s tokens being mentioned across social media, investors are anticipating a possible catalytic effect on ApeCoin price, among other gaming tokens.

APE Santiment: Social dominance, social volume

Also, active deposits into exchanges are dwindling, as well as exchange inflows, with both metrics pointing to the intention to sell. With the lull shown in the chart below, investors appear to be anticipating a move north. This explains why exchange outflows have spiked as traders move their APE holdings to private custody.

APE Santiment: Active deposits, exchange inflow, exchange outflow

The supply on exchanges as a percentage of total supply metric has dropped from 6.55 to 6.48 between January 22 and 24. It also shows a generally subdued motion, displaying a defined horizontal movement. A spike in this metric would be a sign of a rise in short-term selling pressure. With the prevailing outlook, the ApeCoin price may not encounter seller momentum, at least for the meantime.

APE Santiment: Supply on exchanges as a percentage of total supply 

On the other hand, the Relative Strength Index (RSI) is below the 50 level, still moving below the signal line (yellow band) and pointing to subjugation. The Awesome Oscillator (AO) and the Moving Average Convergence Divergence (MACD) indicators are also in negative territory, reinforcing the bearish outlook.

If the bears have their way, ApeCoin price could lose the immediate support at $1.24, before a possible extension south to test the $1.02 support floor, 20% below current levels. In a dire case, the price could slip past this level to retest the range low at $0.99, last tested on October 9.