Aptos rushes past $8, what next?
Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion.
Aptos broke out past the range highs at $8.8 on high trading volume. This was a sign of conviction from the buyers, and the $10 target did not look implausible. With Bitcoin looking weak on the charts, some risks remained for Aptos buyers.
The price action that Aptos was developing appeared to go down a similar route as Ethereum a few days ago. ETH too broke out past the range highs and a bearish order block, which was retested as a bullish breaker.
Is a push to $10 feasibleThe range (orange) extended from $7.7 to $8.8. Just over 12 hours before the time of writing, during the Asia session, these highs were breached on strong volume. The RSI also shot higher to underline the bullish momentum.
In doing so, the price presented two short-term areas that could be retested upon a retracement. The first was the H2 bullish breaker (cyan) at $8.65, and the other was an H4 bullish order block at $8.2.
The OBV broke past a local resistance alongside the price, which suggested the move upward was backed by genuine demand.
However, one factor to watch out for was the FVG from 8 May. The purple dashed line represents the upper part of this imbalance.
It was possible that APT could experience a brief reversal to $8.2 or $8.6 from this level before another move higher. To the north the next resistance level was at the $10 area.
The swiftly ascending OI backed strong bullish sentimentAdditionally, the near-term rally of APT was accompanied by a rise in the Open Interest. This indicated strong bullish sentiment in the market.
Moreover, the move upward was fueled by short liquidations as well, as highlighted on the chart.
How much are 1, 10, and 100 APT worth today?
Liquidated bears are forced to buy the assets at market price to close their positions. And this adds to the short-term bullish momentum.
However, once these orders are gobbled up, Aptos might retrace toward the support zones highlighted previously.