ApeCoin: Presenting APE’s future prospects after this breakdown

ambcrypto.com:

Disclaimer: The findings of the following analysis are the sole opinions of the writer and should not be considered investment advice

Following its All Time High (ATH) at the end of April this year, ApeCoin [APE] relatively fell flat on investor expectations. The subsequent decline has kept the alt below the constraints of the $7.3 ceiling for over three months now.

The recent bearish pattern breakout evoked a streak of red candles. The price action now approached its immediate demand zone in the $4.3-$4.7 range.

With the EMA ribbons opting for a bearish flip, the near-term prospects favored the sellers. But the bearish flag breakdown could find easing grounds in the above support range. At press time, APE traded at $4.785, down by 7.38% in the last 24 hours.

Source: TradingView, APE/USDT

After a substantial capitulation of over 88% from its ATH, APE has been on a gradual uptrend. From its all-time low on 15 June, the coin has been striving to find higher grounds to rest on.

The recent recovery efforts translated into a rising wedge on the daily timeframe. But with the $7.3-level posing hurdles, the patterned breakout inflicted a bearish flag setup. The resultant bearish crossover of the 20/50 EMA has rekindled the bearish pressure.

To top it up, the altcoin saw an over 74% hike in the 24-hour trading volumes alongside the daily loss. This reading hinted at a strong bear move. But the quantum of total volumes was on a rather declining trend over the last week.

A potential close below the $4.7-level could expose the alt to a further downside. In this case, the buyers would look to re-enter the market in the $4.1-$4.3 range. But a likely bounce-back from the immediate demand zone could aid the coin in retesting the $5.1 ceiling.

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