Apcoin is currently witnessing a relief rally after a significant drop last week. This came after the coin set a new low of $3.13. The APE has also seen a sharp decline from its May and April highs, which were, at some point, above $20. However, there are some indications that a short-term bounce may be on the cards. Here are some points:
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APE is up 15% in the last 24 hours
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The coin has formed a descending trend with dynamic resistance
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A consolidation above $3.2 could result in a decisive bullish trend reversal
Data Source: TradingView
epcoin price analysis
After a drop of around 70% over the past month or so, APE is finally seeing some demand. The coin is approaching a low of $3.13, which is its new 2022 low. However, a declining trend in the price action has established dynamic resistance near $3.2.
So far, APE has managed to hold it and is actually rallying today. The coin could see an increase of at least 20% before any pullback. However, there is also reason to believe that the current momentum may actually go further. The key for APE bulls would be to reclaim the $5.1 support.
While it won’t be easy, it is possible, given the kind of resilience APE has shown. A bounce above $5.1 would trigger heavy buying pressure and could settle the APE near $7. This will be almost double the current price. However, if the coin falls below $3.2 in the coming days, this analysis becomes invalid.
HOW TO PLAY THIS APE SETUP
The key is $3.2 support. As long as the price stays above this, downside risk is limited.
Besides, there is a case to be made for a rise above $5.1. If you don’t want to risk, you can buy once the APE hits $5 and exit at around $7.2 in the short term.
