ApeCoin price inches closer to $5, could breach this critical level by the end of October
|- ApeCoin price is looking to breach a six-month-long downtrend line once again to touch $5.
- Recovery for APE is yet to begin, as a broken line for higher lows currently stands at $7.69.
- APE’s price may take longer to recover thanks to declining NFT sales, falling to a 15-month low.
ApeCoin price was launched into the crypto market with a lot of hype, but in the last couple of months, that hype has dissipated. Although the coin is still dependent on broader market cues, a lot of its movement is also influenced by the NFT (Non-Fungible Token) market. Being the token of the Bored Ape Yacht Collection (BAYC), APE’s lack of growth might be impacted by the state of the BAYC market.
ApeCoin price in the lows
Since May, ApeCoin price has been on a consistent decline, with APE falling from near $20 to $4.7. Although the improvement noted in prices towards the end of September raised expectations for a relatively better Q4, the month of October disregarded that.
However, the last few days have placed APE in a better spot for a run up to $5 after a 12.35% rise since the altcoin is nearing a six-month-old downtrend line.
Even though this line has been tested multiple times in the past, including a successful test as support, APE has fallen below it. Should ApeCoin price breach above it over the next couple of days and test it as support again, APE could cross the $5 mark by the beginning of November.
The presence of Parabolic SAR’s blue dots under the candlesticks does indicate an uptrend, but a recovery is still far away. For APE to recoup its losses, it must climb up to $7.5 and test the uptrend line as support. The high lows formed in the past defined this line, however, ApeCoin price journey toward it might take a while.
The impact of BAYC
APE’s price can be influenced by BAYC’s movement, but the current state of the NFT market restraints it from doing so. Over the last 30 days, BAYC’s sales have been very meager, averaging at $500K on a daily basis.
The bearish cues from the crypto market have impacted the NFT market to the extent that October’s NFT sales are the lowest observed in almost 15 months.
Regardless, BAYC is doing its best to reach a wider audience, forming the BAYC Council earlier this month. Yuga Labs (BAYC’s creator) intends to grow its web3 presence through this council. What impact it may have on ApeCoin’s price is yet to be seen.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.