Apecoin (APE) has been showing strong bearish signs over the past week. The coin is now in steep decline as broader weakness in the market takes its toll. But how far can it actually fall? More on this below but first, here are some highlights:
APE has recorded 3 straight days of losses as bears take full control
The coin will likely bottom at $5 in this bearish cycle
This thesis will become invalided if bulls can push the price action above $7
Data Source: TradingView
Apecoin’s trajectory and why $5 matters
When Apecoin launched a few weeks ago, the coin simply went to the moon. At one point, it was even trading at around $25. But the expected correction soon followed. APE fell sharply, and in the whole of May, it has struggled to rise above $10. This weakness is set to continue as we end the month.
APE has in fact closed in the red over the last three trading sessions. It was around 7% down in intraday trading today too. We expect this bearish trajectory to continue and eventually settle at $5. However, there is still some risk that APE could lose $5 if sentiment in the market becomes more bearish in the near term.
If this happens, we could see a decisive drop towards $2. But bulls can still save APE from this downtrend if they manage to push the price above $7 before the close of trading today.
The long term outlook for APE
We do not think Apecoin will return to its $25 highs anytime soon. In fact, most estimates show that the coin will likely settle at around $15 this year. But before this happens, Ape investors will need to deal with potentially devastating downtrends.
In fact, the possibility of this coin bottoming at $2 is high. However, this also means that opportunities to buy for long term investors will present themselves.
The post Apecoin (APE) to bottom at $5 as weakness continues appeared first on CoinJournal.
