ApeCoin [APE]’s current surge caught the eye of not simply monkey lovers, but additionally whales and different smaller sea creatures within the crypto ocean. Since then, nevertheless, APE’s worth has plunged once more. At press time, the wild monkey token was buying and selling at $14.80, after shedding 10.04% of its worth previously day. APE additionally dropped by 20.89% within the final week.
So, why is that this newsworthy? Properly, have a look.
Don’t return to your EX-change
At press time, information from Santiment confirmed that APE’s rise in worth was adopted by thousands and thousands of APE tokens returning to the exchanges. Nevertheless, as quickly as APE’s worth fell right down to round $20, APE started returning to the exchanges at excessive speeds and shortly, the availability of APE on exchanges hit all-time-highs of round 45.08 million.
This implies that APE traders aren’t within the mission for the long term, however want to take their earnings as and after they can. With costs now again to the place they have been in late April, traders must be anticipating a great deal of volatility.
Naturally, you is perhaps questioning if whales are behind the newest spherical of sell-offs. The brief reply? It’s very a lot a risk, as whale transactions value greater than $100,000 spiked shortly earlier than APE tumbled in worth but once more.
Subsequent up, learning the NVT ratio can provide us a greater thought as as to whether APE is overvalued or undervalued at its present worth. At press time, the NVT ratio was shifting upwards, which is a bearish signal for the asset. It additionally reveals that the asset is shifting in direction of changing into overvalued, when in reference to APE’s transaction volumes.
We’ve seen a litany of bearish metrics for APE, however is there something bullish in retailer for the asset? Properly, Polygon did announce that APE was accessible for greater than 19,000 decentralized apps within the Polygon ecosystem.
At press time, APE’s worth was turning upwards once more, nevertheless it stays to be seen if the unstable token will have the ability to escape of the crimson quickly.
gm @apecoin#ApeCoin is now accessible for 19,000+ dApps and video games on the #Polygon ecosystem! pic.twitter.com/OJfKGuoOvT
— Polygon – MATIC (@0xPolygon) Might 2, 2022