The popular NFT collection known as the Ape Club influenced the cryptocurrency known as ApeCoin, which is appropriately named after a common animal in financial circles. The APE ecosystem uses this ERC-20 token for administrative functions. APE powers the team in charge of developing web3 currencies.
Owners of ApeCoin will be able to shape how the ecosystem grows and how ApeCoin DAO resources are distributed. The ApeCoin ecosystem fund, which will be used to support the project’s many projects, received 62% of all APE tokens.
ApeCoin has a real value, but because of its connection to an NFT fund, many people think it is more of a meme coin than anything else. Investors’ opinions on the cryptocurrency ApeCoin are divided; while some are ardent supporters, others think it is in the midst of a bubble that will soon burst.
By taking into account both of these opposing viewpoints, we will try to strike a balance when predicting the price of the APE coin. Don’t forget that nothing in this article is intended to be financial advice, and you should always conduct research before investing in cryptocurrencies.
ApeCoin Regains a Significant Level
Since November, when it strayed below the $3.40 lateral region, the APE price has climbed (red circle). It seems that the price of ApeCoin has fallen at the moment. However, the subsequent upward trend reduces the breakdown in deviance status. Such discrepancies are frequently followed by large increases.
Although the RSI’s climb over 50 might be seen as a positive indicator, corresponding gains (green circle) have not occurred during the previous five months. Therefore, we are unable to say for sure whether the RSI is bullish.
The breach of a falling resistance line that has been in place for 150 days, however, is the most bullish indicator. The breakout has not been followed by a big upward advance, although moves above such long-term formations typically bring about a steady climb.
If the upward advance persists, the standard value of $5.15 will serve as the key resistance level. In contrast, a drop below the sloping support line would indicate that the breakout was invalid.
Will the Increase in the Price of ApeCoin in January Continue?
According to the four-hour technical analysis, the APE value has kept up an upward support line since November 13. The line (green symbols), which started the current upward momentum, was most recently validated on December 30.
The APE price (dashed) also seems to have crossed a downward resistance line. But it’s hard to pinpoint its precise slope because there are so many wicks. As a result, the breach cannot be verified. A long-term falling resistance line on the daily time frame was broken by the price of the Ape coin, making this short-term breakout more likely.
Technical Analysis of ApeCoin
For a few reasons, it is very challenging to estimate the price of ApeCoin. First off, its fundamental value as a medium of exchange is tied to an NFT collection, a hype-dependent project. The Ape Yacht Club is one of the biggest projects of its kind, and despite being embraced by many celebrities, interest in it has already started to decline.
Of course, the initiative is about more than just NFTs; it’s also about socializing with celebrities at live events, supporting a network that advances the blockchain sector, and much more.
Many of the fundamental ideas underlying NFTs are great in theory, but they are not as well-liked as they might be. The most frequently voiced concerns include excessive energy consumption, the speculative nature of cryptocurrencies, inadequate regulation, and other problems. Although some of them have already been changed, the public’s perception needs to change.
All technical indicators at the time of writing indicated that ApeCoin was in a solid bullish trend, and most technical analysis platforms gave the APE/USD pair a “strong buy” recommendation. Though the future behaviour of ApeCoin cannot be foreseen, it is clear that it is booming right now.
ApeCoin Price Prediction in General
Popular NFT launches such as Bored Ape and Mutant Ape Yacht Club have embraced ApeCoin, which was only released in March 2022. (MAYC). The Bored Ape ecology is centred on NFTs, particularly art and collectables.
The goal of ApeCoin, which is community-run through a DAO, is to enable community governance and create an environment that prioritizes the arts and may benefit the creative industries.
It’s hard to estimate the future value of ApeCoin, but a sharp increase in value is unlikely given the number of uncertainties and regulatory worries in the US. Indeed, it would be considered a huge achievement for the project if ApeCoin could increase by 20% by 2023, reaching $4.60; as a result, many think Metacade would likely overtake the project, including the wellness initiative, sooner or later.
Additionally, the rising triangle, which is seen as a bullish pattern, is formed when the $4.32 resistance zone and ascending support line are united. The APE futures price would be projected to reach the previously mentioned $5.15 barrier range on any potential breakthrough from it.
As a result, even if the long-term APE cost analysis is still uncertain, a breakout over $5.15 is the most probable short-term movement. However, a close below the present rising support line would disprove this bullish theory and probably cause the price of APE to hit new lows.
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- Source: https://insidebitcoins.com/news/apecoin-ape-price-prediction