This altcoin could soon be APE-ing to rally by 20%
ApeCoin’s price shows an interesting technical outlook as it approaches a crucial hurdle. A swift move above this barrier could trigger an uptrend, one that is likely to set a base and make a run for the all-time highs.
ApeCoin price ready for recovery?
APE’s price has dropped massively since its all-time high of $17.46 on 18 March. Although the initial hype faded, the drop cauterized at around $10.60. After setting up a swing low around this level, APE rallied to roughly $15 and set a local top on 28 March.
Since this point, ApeCoin’s price has been hostage to these barriers, ranging from $10.68 to $15. More recently, APE has been hovering between the $12.4 and $10.60 barriers. However, the recent spike in buying pressure has been trying to push the altcoin above the $12.40-hurdle. If successful, it could signal a resurgence of buyers and potential base that could kick-start a higher move.
Interestingly, APE has rallied roughly by 11% in the last 24 hours by setting two higher lows at $10.60 and 11.05 on 11 April and 19 April, respectively. Since the Relative Strength Index (RSI) has produced a higher low on the same days, it reveals a hidden bullish divergence.
Such a technical formation is often followed by a burst in the price action and is referred to as hidden divergence. This, since the RSI is heading lower, which could be confused with declining momentum.
If this buying pressure continues, there is a good chance APE will rally by 20% and tag the $15-hurdle.
A matter of supply?
Since its inception on 17 March, the number of whales holding between 100,000 and 1 million APE tokens has increased to 154. Despite the recent crash in price from its all-time high of $17.46 to $10.50, the number of investors increased from 149 to 154, indicating that these investors are expecting bullish performance from APE.
However, things could turn sour for the NFT-related coin if there is a massive flash crash in Bitcoin’s price. In such a case, a daily candlestick close below $10.50 will create a lower low and deviate below the range low and put an end to the bullish outlook for ApeCoin’s price. In such a case, APE could slide lower in search of stable support levels until sidelined buyers step in.