APE’s momentum slows down and a pullback looked likely — but what can follow?

Disclaimer: The info introduced doesn’t represent monetary, funding, buying and selling, or different kinds of recommendation and is solely the author’s opinion.

  • The momentum on the 12-hour and the each day timeframe was bullish but the decrease timeframe momentum started to shift
  • A pullback to an space of curiosity can be a shopping for alternative but will probably be dangerous

Bitcoin has climbed previous the $17k mark in latest days and traded at $17.4k on the time of writing. It confronted intense resistance close to the $17.6k and $17.8k marks. A drop for the king of crypto will likely drag the remainder of the market down as nicely.

Read ApeCoin’s Price Prediction 2023-24

ApeCoin additionally traded inside a increased timeframe zone of resistance. A pullback was likely for APE, but this may very well be adopted by a northward transfer. Will Bitcoin’s rejection, if it happens, break this setup for ApeCoin? Or can merchants anticipate a bullish breakout over the subsequent few days?

APE posts a bearish divergence on the 4-hour chart because it bounds into a resistance zone

Source: APE/USDT on TradingView

On the each day timeframe, the crimson field marked a bearish order block that ApeCoin registered on 5 November. This transfer upward to $5.25 was adopted by a sharp drop to the $2.82 stage simply a few days later.

The intense response at this zone of resistance marked it as a place the place a comparable response may happen as soon as extra. A rejection remained likely, and solely a each day session shut above $5.25 may flip this bias.

How many APEs can you purchase for $1?

On the four-hour chart, the RSI was receding at the same time as the value climbed higher- a bearish divergence. Hence the bullish momentum was visibly slowing, even because the OBV climbed increased to point regular shopping for strain.

A rejection on the order block may see a pullback to the bullish breaker on the $4.4 zone. The $4.26-$4.37 space additionally has an inefficiency on the chart, highlighted in white. A push beneath this inefficiency to $4.14 was a risk earlier than a bounce upward.

Mean coin age confirmed some accumulation but revenue taking was additionally a risk

ApeCoin likely to see a pullback to $4.3 but should you buy it?

Source: Santiment

The weighted sentiment was close to impartial, and had pushed strongly optimistic proper after Christmas. At that point a bullish worth motion didn’t observe. In the previous week, the 30-day MVRV ascended steeply and breached the highs from late November. The inference was that holders can look to promote and take income.

Combined with the value motion, this added to the proof behind the thought of a pullback.

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