Despite a recent drop, the market outlook for APT remains optimistic.
- APT was the second-highest loser in the last 24 hours, highlighting its current bearish momentum. Market indicators and sentiment, however, suggest this downturn is just a minor setback.
CoinMarketCap reports that Aptos [APT] has seen a notable decrease, dropping 8.09% in value over the past 24 hours. Despite this drop, the asset’s overall outlook remains bullish, buoyed by a 36.63% gain over the month.
AMBCrypto has provided an in-depth analysis of why this growth is anticipated to continue.
APT is set for potential rally
Using the 4-hour time frame, APT appears bullish, having pulled back to a resistance-turned-support level that could serve as a catalyst for upward movement.
The support level at $8.29 is crucial, where significant buying pressure is expected. This level is likely to hold, as indicated by a bullish Doji candlestick pattern, which signifies strong buying interest at this price.
If this support level is maintained, APT is expected to revisit its previous high at $9.56, where a major liquidity cluster is located. Otherwise, it might trade lower, finding temporary support at $7.81.
Source: Trading View
Bullish signals strengthen for APT
Technical indicators like the Parabolic SAR (Stop and Reverse) and the Aroon Line reveal that APT might appear bearish at a glance, but underlying trends suggest a continued bullish stance, according to AMBCrypto.
The Parabolic SAR, which utilizes dots to indicate market direction, shows dots positioned below the price bar, signaling an uptrend. This arrangement suggests that bulls are still actively influencing the market.
Similarly, the Aroon indicator, which employs two lines—the Aroon Up (orange) and Aroon Down (blue)—to gauge market movements, supports the bullish outlook.
APT is currently in a bullish phase, with the potential to climb further, as indicated by the Aroon Up line positioned above the Aroon Down line.
Source: Trading View
Mixed signals emerge, yet bulls may prevail for APT
APT’s market presents mixed signals, according to the latest on-chain metrics.
For example, Open Interest has fallen by 10.72% to $162.74 million over the last 24 hours, according to Coinglass. This drop hints at a bearish undertone, suggesting that derivative contracts are trending bearish.
Source: Coinglass
Conversely, the spot market for APT shows promising signs. A negative Exchange Netflow indicates that over $5 million worth of APT has been withdrawn from multiple crypto exchanges.
This activity suggests a potential short-term rise in APT’s price and hints at an upcoming supply squeeze.
For APT to pivot back to an uptrend, an increase in Open Interest with more long positions on APT would be necessary.
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