APE Technical Analysis: Bottom Formation Hints Bullish Reversal

Key technical points:

Past Performance of APE

APE coin prices broke below the $13.5 mark and the long-coming support trendline due to the increased selling activity on 31st March. The retest of $3.15 fallout came on 3rd April and continued the downfall in a falling channel fashion. 

Source-Tradingview

APE Technical Analysis 

APE coin price faces extreme selling pressure resulting in a fall below the 50% Fibonacci retracement level and forming an accumulation range between the 61.80% level. However, the price action shows a double bottom pattern at the $11.5 mark and a neckline at $12.75.

As the Apecoin prices fail to surpass the 50 and 100-period EMA, the reversal continues in the falling channel pattern. However, a bullish breakout of the 50-period EMA will result in an upside-out breakout. 

RSI Indicator: The RSI slope shows a bullish divergence in the double bottom pattern formed at the $11.5 zone. Hence, a bullish breakout of the falling channel pattern as the RSI slope surges above the 14-day SMA reflects a resurgence of buyers. 

MACD Indicator: The MACD and signal lines merged to give a bearish crossover, with the reversal in coin price driving the merged lines higher. Moreover, the merger projects bullish divergence in the double bottom pattern. Hence, the indicator may shortly reacquire the bullish alignment.

The APE technical analysis emphasizes the possibility of a bullish reversal with the double bottom breakout.

Upcoming Trend 

APE coin price shows a bullish fightback with the early reversal in the falling channel from the $11.5 zone and lower price rejection from the support trendline. Hence, the traders can anticipate an upcoming bullish trend as the buying pressure increases.

Support Levels: $11.5 and $10

Resistance Levels: $13.5 and $15