Here's why ApeCoin price could retrace to 12
- APE price has rallied into the 4th wave of a previous degree.
- ApeCoin price has yet to retrace the triangle's trendline.
- Invalidation of the downtrend is a breach above $19.50.
Apecoin price has disproportionate wave structure. One more drop could occur into $12.
ApeCoin price due for one more drop
ApeCoin price has rallied 20% into today's high at $17.66. Despite the impressive countertrend rally, the overall downtrend looks disproportionate. The consolidations between each downslide are too similar to qualify as separate impulse waves. Thus the countertrend rally experienced today may be the final leg of the 4th wave within the downtrend. These countertrend moves are typical terminations of Wave 3 price action. Therefore, one more swing into the 12 zone would redeem the incomplete look of the current C wave.
ApeCoin price saw an impressive 80% rally which was forecasted from a triangle formation in early March. The triangles apex and trend lines have yet to be retested. Because of the blowoff, top-looking price action presented from APE coin price, it is fair to assume the macro wave 1 is over, and a deep wave 2 into the triangle apex is on the cards. The apex currently resides at $12. A retest and break above the apex could provide an excellent long-term entry for APE advocates.
APE/USDT 4-Hour Chart
Invalidation of the downtrend scenario is a breach at 19.5. If the bulls can accomplish said price action, the $23 level will be the next probable target resulting in a 50% increase from the current 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.
