ApeCoin price shows reasons to jump in early
- APE price has breached a parallel channel.
- ApeCoin price has printed three sets of impulsive waves down.
- Invalidation of the bullish thesis is below $5.76.
The NFT-inspired token price could continue advancing as the technicals hint at a potential bottom.
ApeCoin price shows bullish signals
The ERC-20 governance and utility token may have printed a subtle bottoming pattern this weekend as the price has breached a parallel trend channel. The descending channel has been a key ingredient set to propel the APE coin price into the $2.00 zone. However, now that the channel has been breached, the likelihood of more downtrend price action is beginning to fade.
ApeCoin price is now trading at $6.88. Although APE price now trades 65% below the triangle apex, being an early buyer could be worth taking the risk. Over the weekend, the Ethereum -based NFT token saw a subtle 5-wave down pattern which is commonly referred to as the final leg before a secure bottom is established. When combined, ApeCoin price could display a very impulsive bullish price action in the near future.
APE/USDT 4-Hour chart.
The invalidation for investors looking to take an early position will be a breach below the swing low at $5.76. If the bears can break through this support level, the ApeCoin price could continue falling towards $2.00, resulting in a 70% decrease from the current ApeCoin price.
Author
Tony M.
FXStreet Contributor
Tony Montpeirous began investing in cryptocurrencies in 2017. His trading style incorporates Elliot Wave, Auction Market Theory, Fibonacci and price action as the cornerstone of his technical analysis.
