Disclaimer: The information presented does not constitute financial, investment, trading or other advice and is solely the opinion of the author.
- Apecoin hit new lows as selling pressure mounted.
- Buyers could be in for a surprise based on the near-term accumulation trend.
apecoin [APE] reached a new low of $1.49 as the price of the gaming token continued its rapid decline. Despite the bulls’ best efforts to keep the price up from the $1.72 support level in early August, APE eventually gave in to the overall bearish sentiment in the market.
Realistic or not, here is APE’s market cap in terms of BTC
A 33% price drop between Aug 15 and Aug 17 caused bears to break the USD 1.72 support, exposing APE to a free price drop that could lead to a low of USD 1 – a far cry from April’s mega high of USD 23 2022. .
Bulls have no battle in them anymore
Source: APE/USDT on Trading View
Continued selling pressure on APE has limited bullish attempts at a price reversal. With buyers losing one level of support after another, the bears have ruled since April 2023.
While the price action in the lower time frame (4H) showed a lot of sideways price action, the price action in the higher time frame (daily) showed that Apecoin’s continued implosion could reach $1 in the coming days/weeks.
The series of lower highs and lower lows in the downtrend indicated that Apecoin is likely to retest the new resistance at USD 1.72 before continuing its freefall.
Any hope of a price reversal will depend heavily on bullish market sentiment, especially when it comes to Bitcoin [BTC] may reclaim the $28 – $30,000 price zone in the long run.
Otherwise, Apecoin holders can expect a continuation of this freefall with no bottom in sight. The Relative Strength Index’s (RSI) recent attempt at a reversal was met with a rapid return to the oversold zone, underscoring selling pressure.
Similarly, the drop in interest in APE caused the On Balance Volume (OBV) to register a 70 million drop in trading volume over the past week.
Could long-term owners make a surprising move?
Source: Sanitation
Dates from Sanitation emphasized a surprising measure. The market value to realized value (MVRV) ratio for monthly (30d) and quarterly (90d) holders of Apecoin showed severe losses of -15.90 and -25.49% respectively.
How much are 1.10.100 APEs worth today?
However, the average coin age of 90 years has been rising since August 17, indicating an accumulation of APE at lower prices by long-term holders in anticipation of a sustained price recovery.
This glimmer of hope signaled a possible change in price dynamics should general market conditions improve.
