ApeCoin price recovery rally threatened, $16.68 million worth APE tokens due to flood markets in cliff unlock

  • ApeCoin price is on a recovery rally, recording almost 10% in gains over the last five days.
  • 15.6 million APE tokens worth $16.68M will be unlocked on October 17, with some going to launch contributors or investors.
  • The altcoin could experience some volatility, potentially derailing the recovery rally.
  • A break and close above the $1.253 level would confirm the uptrend. 

ApeCoin (APE) price has been bullish over the last week, recording high highs as part of a recovery rally. It comes after a steep downtrend beginning early October, and another steeper one that began in mid-August.

Also Read:  ApeCoin holders oppose proposal to spend $12.1 million worth of APE for NFT series

ApeCoin price nurtures recovery rally

ApeCoin (APE) price is up 8% in the last week to the current price of $1.070. The price action over these past several days, characterized by higher highs culminates in a recovery rally that could see the altcoin vindicated from underneath the foothold of the $1.086 resistance level.

With the Relative Strength Index (RSI) northbound, momentum is rising, corroborated by the green histogram bars of the Awesome Oscillator (AO). A buy signal has also been executed, with the RSI crossing above the signal line. Nevertheless, the position of the RSI still under the 50 midline and the AO still in the negative zone shows that the odds still favor the bears.

With this outlook, chances that the recovery rally is premature remain high and ApeCoin price could face a rejection from the $1.086 resistance level. The ensuing selling pressure could send APE back to the support floor at $0.996, potentially breaking below this to tag the $0.993 range low.

APE/USDT 1-day chart

Meanwhile, the ApeCoin ecosystem has a cliff token unlock scheduled for October 17, two days out, which will see 15.60 million APE tokens worth $16.68 million flood the market in a cliff unlock. The tokens will be allocated to the Yuga Labs ecosystem and its founder, charity, treasury, and most interestingly, to the launch contributors. Launch contributors are basically the early investors, who participated in the token reaching its soft cap, the minimum amount raised before a token is launched. This cohort of community members is likely to sell for some quick profit.

The proceeding selling pressure adds to the downside potential that could see ApeCoin price correct from its ongoing recovery rally.

APE Token Unlocks

Conversely, increased seller momentum above current levels could see ApeCoin price breach the $1.086 resistance level, potentially extending to the supply zone extending from $1.220 to $1.289. A decisive move above the midline of this order block at $1.253 would confirm the uptrend.


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. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Recommended content

Recommended Content

Editors’ Picks

Ripple stablecoin unlikely to invite legal trouble from SEC, says Ripple executive

Ripple stablecoin unlikely to invite legal trouble from SEC, says Ripple executive

Ripple, the native token of the XRP Ledger slipped under $0.60, a key psychological support for the altcoin. The two key market movers are the Securities & Exchange Commission’s lawsuit against Ripple and the upcoming stablecoin RealUSD (RLUSD).

More Ripple News

Binance burns over $950 million in BNB, will price cross $700?

Binance burns over $950 million in BNB, will price cross $700?

Binance Coin price is nearly unchanged in the past month. Data from TradingView shows BNB price is $585 at the time of writing. On-chain metrics support a thesis of gains in BNB, as social dominance and volume climbs this week.

More Binance News

Dogecoin price sets for a rally following retest of support level

Dogecoin price sets for a rally following retest of support level

Dogecoin price faces rejection at the 50% Fibonacci retracement. On-chain data shows that DOGE's development activity is growing, suggesting a bullish move ahead. A daily candlestick close below $0.1018 would invalidate the bullish move.

More Dogecoin News

Mt.Gox transfers $2.85 billion in Bitcoin, what to expect from BRC-20, cat-themed meme coins

Mt.Gox transfers $2.85 billion in Bitcoin, what to expect from BRC-20, cat-themed meme coins

Bitcoin worth $2.85 billion was transferred by Mt.Gox, crypto traders anticipate heightened selling pressure on BTC. Bitcoin-related assets like BRC-20 tokens and cat-themed meme coins typically rally or suffer correction in price alongside BTC. 

More Cryptocurrencies News

Bitcoin: Will BTC continue its bullish momentum?

Bitcoin: Will BTC continue its bullish momentum?

Bitcoin (BTC) price increased by 5.5% this week until Friday after breaking above a descending trendline. Currently, it is trading slightly higher by 0.23% at $64,166.

Read full analysis