After Bored Ape Yacht Club (BAYC) holders received an airdrop of the new ApeCoin (APE) this week, it was promptly sold off with the token dropping significantly as a result.
On March 17, ApeDAO launched the new ApeCoin linked to BAYC, one of the most valuable non-fungible token (NFT) projects in the space. The launch had a bit of a rough start after the APE token fell nearly 80 per cent in the first few trading hours, though it now seems to be steadily climbing as the accumulation phase starts for those who couldn’t get the coins for the airdrop.
ApeCoin/USD price chart. Source: CoinMarketCap
The token fell from its high of US$39.40 to a relatively stable $14.75 at the time of writing. At one stage, the coin was trading for as low as $6.48, according to CoinMarketCap. The total market cap for the token now sits at around US$4 billion, making it the 33rd-largest coin on the day of its launch.
APE was airdropped to BYAC NFT holders after the announcement that it was part of a new campaign by ApeDAO. Each holder received 10,000 coins that could be collected for a 90-day period, but users quickly sold their coins, pushing the price down considerably.
ApeCoin Airdrop Follows Familiar Pattern
If previous airdrops are anything to go by, this one might just be following a similar pattern, according to Braindrops’ co-founder, who attributes its classic price movement to a large release of tokens. This, however, remains to be proved:
— JUSTIN // BrainDrops: A Platform for AI-Gen Art (@justintrimble) March 17, 2022
According to its official website, the coin will serve as “a decentralised protocol layer for community-led initiatives that drive culture forward into the metaverse”. The token was developed by ApeCoinDAO, a different entity from Yuga Labs – the creators of BAYC – and has some heavy hitters, such as the co-founder of Reddit and the Head of Ventures and Gaming at FTX, sitting on its advisory board.
Is Coin Launch Helping the Project?
When looking at the marketplace, a consequence of the asset’s launch could have helped the average price of the BAYC collection. The project floor price rose significantly across the past seven days from 76.11 ETH on March 11, with a total volume of 913 ETH, to an average price of 110.15 ETH and a volume of 9,583 ETH in the hours following the launch.
Let’s take a closer look at today’s altcoins showing breakout signals. We’ll explain what the coin is, then dive into the trading charts and provide some analysis to help you decide.
1. APENFT (NFT)
Apnet NFT core businesses include investing in top NFT platforms and artworks; incubating leading NFT artists to build a bridge between world-class artists and the NFT world; sponsoring galleries, organising art exhibitions or publications, and setting up awards to support art creation and criticism; establishing art collections, etcetera. By applying blockchain technology to the NFT world, APENFT Fund expands the use cases of blockchain and purchases well-known traditional and NFT artworks as underlying assets.
NFT Price Analysis
At the time of writing, NFT is ranked the 105th cryptocurrency globally and the current price is US$0.000002481. Let’s take a look at the chart below for price analysis:
After falling 73% from its Q4 highs, NFT found a low at its last support near $0.00000169.
The price is currently encountering resistance near $0.00000246, which has confluence with a previous consolidation range’s lows and the 40 EMA.
If Monday’s low stays above $0.00000219, this price to Monday’s final low could act as support. At the current prices, this suggests $0.00000240 to $0.00000231 could act as support.
Otherwise, bulls will likely be looking near $0.00000224 for possible support. Just below, $0.00000210 – near the February open – may offer a higher probability of buyer interest.
If the current resistance breaks, the 78.6% retracement of the last leg down – near $0.00000262 – may offer resistance. This level is close to the 2022 yearly open and the candle-body lows of the recent consolidation range.
A more sustained rally will likely aim for the relatively equal highs and consolidation from $0.00000322 to $0.00000346.
2. Near Protocol (NEAR)
NEAR Protocol is a decentralised application platform designed to make apps usable on the web. The network runs on a Proof-of-Stake (PoS) consensus mechanism called Nightshade, which aims to offer scalability and stable fees. NEAR uses human-readable account names, unlike the cryptographic wallet addresses common to Ethereum. NEAR also introduces unique solutions to scaling problems and has its own consensus mechanism called “Doomslug.”
NEAR Price Analysis
At the time of writing, NEAR is ranked the 24th cryptocurrency globally and the current price is US$13.61. Let’s take a look at the chart below for price analysis:
After its December bullrun, NEAR has dropped 54% from its highs to support at the 78.6% retracement around $10.15.
The price shifted market structure to run to the consolidation lows near $13.51, just under the 2021 yearly open. Continued bullishness in the market might create support just below, between $13.22 and $12.90.
Bulls might show more interest if the price retraces near the February open, around $11.70. Continued bearishness might see the price reach into old support around $10.15.
If the price reaches this old support, it is unlikely to be the exact long-term bottom – but could prompt a short rally. Bulls might show more interest from $7.43 to $5.99.
On the other hand, if the current resistance breaks, the price might find resistance near $16.88, whereas early-January buyers may still be trapped in longs.
3. Vulcan Forged (PYR)
Vulcan Forged PYR, the makers of VulcanVerse, is a blockchain game studio and NFT marketplace. PYR is the native utility token used for: fees for marketplace settlement; staking in VulcanVerse land and other assets; upgrading and sustaining game asset levels, and play-to-earn rewards. There are 50 million PYR tokens created; 20 million of them are max circulation. Another 10 million will be used for play-to-earn pools and staking.
PYR Price Analysis
At the time of writing, PYR is ranked the 154th cryptocurrency globally and the current price is US$16.13. Let’s take a look at the chart below for price analysis:
PYR has dropped nearly 87% from its December peak, finding support near $7.00. This level offers a reasonable probability of being – or being near – the bottom after this significant a retracement.
The consolidation lows near $16.65 are offering some resistance after a bullish market structure shift.
Bulls might be watching from $14.06 to the February monthly open for signs of support on any retracements from sellers. This possible support has confluence with the 9, 18 and 40 EMAs, and is close to the 2021 yearly open and the February monthly open.
If this level fails to provide support, a retest of the last support near $9.26 is likely. A dip this low could retest quarterly support near $7.70.
However, if the market sustains its rally and breaks through the current resistance, relatively equal highs and an old consolidation range’s highs from $22.40 to $25.63 might offer the next significant resistance.
These coins have high liquidity on Binance Exchange, so that could help with trading on AUD/USDT/BTC pairs. And if you’re looking at buying and HODLing cryptos, then Swyftx Exchange is an easy-to-use popular choice in Australia.
