ApeCoin price exhaustion to drive APE to $4.50
|- ApeCoin price shows a head and shoulders formation, suggesting an incoming downswing.
- The setup forecasts a 15% downswing to $4.19, but things could settle down around $4.52.
- A daily candlestick close above the neckline at $4.96 will invalidate the bearish thesis.
ApeCoin price triggered an impressive rally over the last two weeks, which seems to have ended. The recent downswing in altcoins, including APE, is occurring due to Bitcoin’s sudden flip in bias from bullish to bearish.
ApeCoin price ready to fall even lower
ApeCoin price rallied 38% between September 7 and 13 after two weeks of consolidation. Our previous publication predicted this explosive move that formed a local top at $5.89. Since this move, APE has formed a head-and-shoulders pattern.
This technical formation consists of three peaks, the central one, aka the ‘head’, is taller than the other two, which are termed ‘shoulders’ and are of comparable heights. The bases of these peaks usually sit on a horizontal support level named ‘neckline.’
The setup forecasts a 15% downswing, determined by adding the distance between the head and the neckline to the breakout point. ApeCoin price breached the neckline at $4.96 on September 16, which puts the target at $4.19.
While the theoretical outlook does forecast an extremely bearish target, investors should consider the $4.65 and $4.52 support levels to soften the ApeCoin price nosedive from $4.84.
APE/USDT 4-hour chart
While things are looking bearish for ApeCoin price, a daily candlestick close above the neckline at $4.96 that flips this level into a support floor will invalidate the bearish thesis for APE.
In such a case, ApeCoin price could attempt a recovery rally to $5.34 and potentially extend this run-up to retest $6.00.
Note:
The video attached below talks about Bitcoin price and its potential outlook, which could influence ApeCoin price.
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