ApeCoin Price fell 12%; Will APE Price Rebound From Zone?

• ApeCoin Price fell 12% on a weekly basis.
• APE price rejected the 200-day EMA and dropped below the 50 day EMA.
• ApeCoin Price is returning back to the demand zone.

ApeCoin price fell 12% this week and showed initial signs of bearish trend reversal. APE price seems to be stuck into a narrow range and is likely to break either side soon. Recently, buyers tried to break the higher range, but got rejected indicating strong bearish presence at the higher levels. $4.578 will act as an immediate hurdle in coming weeks.

ApeCoin Price is trading below the 50 and 200 day EMAs. The positional trend is in the downward direction. However, the price is near the demand zone and buyers might again try to reverse the trend in favor of bulls. 

ApeCoin price is trading at $3.964 with an intraday rise of 0.035. The 24-hour volume to market cap ratio is at 0.038. The pair of APE/BTC is trading at 0.00014366 with an intraday rise of 0.74%. The chart structure of APE/BTC shows a strong downtrend with the price consolidating near yearly lows. It shows low correlation with the USDT pair. 

At the beginning of March, ApeCoin price witnessed minor profit booking and hit a swing low at $3.591. Later, the downfall halted and prices bounced back after forming a bullish engulfing candle.$3.591 turned out to be a demand zone and will act as support for the bullish traders.

Will ApeCoin Price Defend the Demand Zone?

ApeCoin tried to reclimb the 50 day EMA, unsuccessfully. The recent correction in APE price ate up the gains made over the past few weeks, possibly bothering long term investors. If the overall market sentiment improves, then the probability of a bounce-back from the demand zone will increase. Otherwise, prices might remain in consolidation. 

The technical analysis suggests ApeCoin price lacks direction and that the possibility of a sharp up-move or down-move is low. However, if APE price slips below $3.500, then the bears may try to drag the prices down toward yearly lows.

Correction Begins in APE Price

APE price formed a bearish candle on the weekly timeframe and tried to test the previous swing low. The correction in ApeCoin price has begun and sellers seem to be more active as compared to buyers. Therefore, any short term relief rally will be doubtful and it will be difficult for the bulls to break out of the higher range. The MACD had generated negative crossover indicating bearishness. The RSI at 37 sloping sideways and near the oversold territory denotes weakness.

Conclusion

ApeCoin Price fell 12% over the week wiping away the gains of the past few weeks. APE price reversed in the downward direction and might test the previous swing low. However, the price is approaching the demand zone and responsive buyers may try to show some recovery.

Technical levels

Resistance levels : $4.758 and $6.438

Support levels : $3.500 and $3.000

Disclaimer

The views and opinions stated by the author, or any people named in this article, are for informational purposes only. They do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.