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Is ApeCoin price gaining steam for a significant movement?

  • ApeCoin price has been bouncing off the $5.93 support level for roughly a week, hinting at an explosive upswing.
  • Investors can expect a minimum of a 15% rally to $7.19 but could extend to $8.14 after a 30% gain.
  • A four-hour candlestick close below $5.93 will create a lower low and invalidate the bullish thesis for APE.

ApeCoin price has been consolidating between many barriers for roughly three weeks, hinting at an explosive move. Considering the bullish weekly open for Bitcoin, there is a chance for this volatility to support the bulls.

ApeCoin price ready for a quick run-up

ApeCoin price has been producing lower highs since May 13, suggesting that the bears are in control. While APE produced two lower lows on May 15 and May 27, the third swing low was an equal low formed around the $5.93 support level.

The consolidation above the $5.93 barrier has been ongoing for roughly four days, indicating that orders are building up. Therefore, investors should be ready for ApeCoin price to trigger a minor run-up to the immediate hurdle at $7.19.

This move would constitute a 15% upswing from the current position at $6.31. However, APE bulls need to slice through the 100 four-hour Simple Moving Average (SMA) at $6.83 to reach $6.31.

While the upside can be capped at the aforementioned level, a spike in buying pressure could send ApeCoin price flying to retest the $8.14 hurdle. This development will signify a total gain of 30% from the current position. 

APE/USDT 4-hour chart

APE/USDT 4-hour chart

While things are looking up for ApeCoin price, the bull rally explained above is limited due to hurdles laid out in its path. However, if APE produces a four-hour candlestick close below $5.93, it will create a lower low and invalidate the bullish thesis. In this case, ApeCoin price will likely crash 15% and revisit the $5.02 support level.

Author

Akash Girimath

Akash Girimath is a Mechanical Engineer interested in the chaos of the financial markets. Trying to make sense of this convoluted yet fascinating space, he switched his engineering job to become a crypto reporter and analyst.

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