Will the downtrend for the ApeCoin price continue? Here are a few factors to keep in mind
- ApeCoin price has produced a capitulation below the May 12 lows at $5.30.
- APE price has printed a new low on the Relative Strength Index.
- Invalidation of the free-fall scenario could be a breach above $4.52.
ApeCoin price is more of a guessing game than most cryptocurrencies. The newly established low at $3.07 should have a retest to define a true market bottom but forecasting when is nearly impossible.
ApeCoin price has a double scenario
ApeCoin price has validated previously written outlooks at FXStreet as the May 12 low at $5.17 has been a critical area of interest over the last few weeks. ApeCoin price produced sideways price action from the middle of May into early June before the anticipated breach at $5.30 occurred on June 11. The anticipated bearish target zone triggered a sellers’ frenzy, leading to a colossal decline into the extended $3.17 target. Now that the extended target has been reached, the ApeCoin price has a double scenario.
ApeCoin price could either go sideways for another week or plunge into the $2.00 price level in free-fall fashion. The Relative Strength Index has printed a new low on the 4-hour chart, which deems the NFT token in a downtrend until drastic changes occur. Traders should be cautious of jumping in too early to play the range, as a retest of $3.07 could trigger the final blow into $2.00.
APE/USDT 4-Hour Chart
A safer invalidation to confirm the range will be a breach above $4.52. If this level is breached, the APE price could establish additional bullish hurdles into $4.75 and the recently capitulated liquidity level at $5.17. Said price action would result in a trading range with a high marked 50% above 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.
