ApeCoin (APE), the coin native to the Bored Ape Yacht Club collection, has been falling steadily since the June crisis, hitting a low of $3.05.
Even though APE is now trading at a 6.5% premium to its initial price on Friday, its performance still pales in comparison to other altcoins.
As of this writing, APE is trading at $4.69a drop of 3.5% in the past 24 hours, according to data provided by Coingecko on Friday.
APE reversed the downward trend on the 4-hour chart after hitting $3.06 the previous month. Nevertheless, the price encountered many hurdles at the $5.3 and $5.5 levels and turned slow from there. APE is now repricing the $4 support.
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A new slowdown in sight for ApeCoin?
ApeCoin is approaching a stop, which could initiate a setback. Due to the possibility of further decline in the market value of APE, investors should beware of the downturn, which has the ability to disrupt gains and cause further weakness.
Since mid-June, the price of ApeCoin has been fluctuating sideways. If the $4.00 barrier holds as support, a rally to $6.00 is likely. A breach of the $4.00 threshold can result in a further 33% drop to $3.00.
The NFT market is one of the attractions of ApeCoin, although the market is currently showing very dismal numbers.
After hitting $42.1 million in sales in May, BAYC NFTs haven’t produced substantial volume in the past two months. During this period, the average BAYC volume was $2.1 million.
APE Total Market Cap at $1.4B on Daily Chart | Source: TradingView.com
APE drops over 80% of ATH
Since the low of $4.20 on June 30, the price of ApeCoin has risen by around a quarter. This gain briefly broke above the $5.02 mark, but buyers were unable to sustain this recent reversal. As a result, the APE has moved below the mentioned level, indicating an impending downtrend.
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Additionally, it is essential to remember that NFT sales for the month of June barely exceeded $1.3 billion. Prior to this month, OpenSea had executed about $3.1 billion worth of trades.
In other words, APE will continue on its current course if the scenario on these aspects does not change.
Prior to the April sale of Otherdeed land by YUGA Laboratories, the price of Apecoin was following a parabolic trend. Since then, however, the coin has been on a steep decline, dropping more than 80% from its all-time high of $26.7.
Featured image from CoinChapter, chart from TradingView.com