Since APE reached its all-time high on April 28, 2022, it has drifted below the daily 20 Exponential Moving Average and the 50 Exponential Moving Average amid escalating selling. Recent higher peaks and troughs indicate the asset’s profitable comeback.
However, bears maintained enraged, refusing price premium. As depicted by a pessimistic flag formation on the price chart, sellers are set to extend the bearish trend in the discussion that follows. APE was trading at $4.4223 at the time of this blog’s publication, a 4.12% increase over the previous 24 hours.
ApeCoin Daily Duration
As a result of the U-turn at the $27.6 psychological barrier, ApeCoin’s price has reached lower highs during the past two months. In the meantime, the 88% decline from the April high caused APE to plunge to ATLs (all-time lows) on June 15 at $3.0661. ApeCoin’s charts exhibited rather bumpy rebounding in response to the decline.
APE’s 24-hour chart has displayed a pessimistic flag and pole for over two weeks. A decisive close below the underlying pattern could expose APE to more losses as the 20 Evolutionary Linear Interpolation inhibits purchasing efforts. Moreover, the volume bias maintained significant declines during the construction of the flag setup. Typically, this pattern performs best when volume is declining.
A decisive close below the flag could strengthen negative efforts to retest the $3.3 support. That would make it challenging for purchasers to prevent the printing of more recent ATLs (all-time lows). Continued pattern variations are likely to result in a retreat from $5.6.
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Reasoning
Over the previous two months, the RSI (Relative Strength Index) has hovered towards the bearish area. APE could retest $3.0 if it breaks below 42, indicating a heightened selling tendency. In addition, the CMF (Chaikin Money Flow) validated the negative thesis. In order to identify bearish employee – driven, followers should evaluate potential escapes outside of this level.
Final Remarks
Given the negative flag & pole structure and APE’s price decline below the 20-50 exponential moving average, the alternative may see a pattern rupture. The objectives would remain as stated previously. Dealers in ApeCoin should monitor on-chain changes and market sentiment to ensure profitable decisions.
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