- APE price has breached a parallel channel.
- ApeCoin price has printed three sets of impulsive waves down.
- Invalidation of the bullish thesis is below $5.76.
The NFT-inspired token price could continue advancing as the technicals hint at a potential bottom.
ApeCoin price shows bullish signals
The ERC-20 governance and utility token may have printed a subtle bottoming pattern this weekend as the price has breached a parallel trend channel. The descending channel has been a key ingredient set to propel the APE coin price into the $2.00 zone. However, now that the channel has been breached, the likelihood of more downtrend price action is beginning to fade.
ApeCoin price is now trading at $6.88. Although APE price now trades 65% below the triangle apex, being an early buyer could be worth taking the risk. Over the weekend, the Ethereum -based NFT token saw a subtle 5-wave down pattern which is commonly referred to as the final leg before a secure bottom is established. When combined, ApeCoin price could display a very impulsive bullish price action in the near future.
APE/USDT 4-Hour chart.
The invalidation for investors looking to take an early position will be a breach below the swing low at $5.76. If the bears can break through this support level, the ApeCoin price could continue falling towards $2.00, resulting in a 70% decrease from the current ApeCoin price.