ApeCoin (APE) Its price has gained about 58% in the last two days. According to technical indicators, APE may experience a short increase in profit taking. Earnings could soon drag on as speculation grows surrounding Bored Ape Yacht Club’s Otherside project.
Apecoin Rises After Speculations
APE price seems to have gained a bullish momentum. The altcoin, which preserved this upward momentum well, recorded a great rise. APE has gained about 58% over the past two days, from a low of $10.90 to as high as $17.20. The sudden upside momentum is the new metaverse project from Yuga Labs, the company behind the Bored Ape Yacht Club NFT collection. othersideIt appears to have been fueled by speculation that it will use it as currency to sell virtual land.
Rumor has it Otherside plots will be sold at the Dutch auction with an opening bid of 600 APE. A Twitter user, also known as one of the new developers, claimed in a tweet earlier Wednesday that he had learned about Otherside’s drop mechanics.
This development is one of the prominent names of the 2021 NFT explosion. Bored Ape Yacht ClubIt came after the non-vessel-type continued to dominate the market. The current base price for NFT Bored Ape is just over 119 ETH, worth around $370,000. This price means almost double the previous best NFT collection CryptoPunks.
In March, Bored Ape Yacht Club consolidated its dominance over pixelated Punk figures when Yuga Labs purchased the intellectual property rights to the collection from Larva Labs for an undisclosed amount. It announced ApeCoin a few days after Otherside announced it would drop in April.
While a detail about the potential benefit of ApeCoin for Otherside sales is still not confirmed, speculation has been enough to drive the price high. After this rise, the price seems to be looking for a price to position itself.
The Tom DeMark (TD) Lined indicator showed a sell signal on APE’s four-hour chart. The downtrend formation developed as a green nine-bar candlestick predicting a one-to-four-body correction. An increase in profits around current prices could help confirm the pessimistic near-term outlook.
A break above the $15.60 support level could be the first confirmation mark. A dip below the support could result in a drop to $14.40 or even $13.70 before ApeCoin rallies and tries to set a new record.
It should be noted that if ApeCoin closes a four-hour candlestick above $17.20, the short-term bearish thesis will likely be invalidated. Breaking a critical resistance level could deter investors from reentering the market and push the price towards $20 or higher.
Disclaimer: What is written here is not investment advice. Cryptocurrency investments are high-risk investments. Every investment decision is under the individual’s own responsibility. Finally, Koinfinans and the author of this content cannot be held responsible for personal investment decisions.