ApeCoin Pumps—Then Dumps—on Musk’s Bored Ape Tease

Roughly $1 billion flowed into ApeCoin after Elon Musk teased Bored Ape Yacht Membership NFT homeowners. Whereas costs stabilize, rumors have circulated that Musk could have “aped into” the favored assortment.

Elon Musk Teases Bored Ape Yacht Membership

ApeCoin spiked then dipped in the present day on account of Elon Musk inflicting a stir within the NFT group.

Twitter’s new proprietor confirmed that he nonetheless has a big affect over the cryptocurrency market in the present day by altering his Twitter avatar to a photograph of a number of Bored Ape Yacht Membership NFTs, triggering a market frenzy throughout the Bored Ape Yacht Membership ecosystem. ApeCoin was considerably impacted, rising 21.44% from $4.13 billion to $4.98 billion inside minutes. Notably, Musk presently has round 90.8 million followers, and he’s nonetheless sporting the Bored Ape collage at press time.

Musk’s newest social media play rapidly led to hypothesis that he could have “aped into” the Bored Ape Yacht Membership assortment. Nonetheless, the favored entrepreneur is but to substantiate any buy. The most recent improvement comes after Musk was pictured with members of MoonPay, the corporate that helped the likes of Publish Malone and Paris Hilton purchase their very own Bored Apes. A couple of days after the photograph surfaced on-line, MoonPay purchased Bored Ape #1837, one of many rarest NFTs within the assortment, for 569 Ethereum price $1.5 million.

Nonetheless, minutes after altering his Twitter avatar, Musk posted a tweet that appeared to poke enjoyable on the Bored Ape group. “I dunno … appears kinda fungible,” he wrote, possible referencing the convenience with which he saved a photograph of the Bored Apes and used it as his avatar. “Fungible” means interchangeable, whereas property like Bored Apes are described as “non-fungible” as they’re distinctive with just one proprietor.

I dunno … appears kinda fungible

— Elon Musk (@elonmusk) May 4, 2022

ApeCoin’s features had been rapidly erased; APE is buying and selling at round $4.45 billion at press time.

From a technical perspective, ApeCoin seems to have discovered assist across the 200-hour shifting common on its four-hour chart. Now, it wants to beat the 100 and 50-hour shifting common to have the ability to recuperate from the 50% correction it skilled over the previous week. These essential resistance ranges sit at $17 and $18, respectively.

A sustained shut above this provide barrier might push APE towards $20 and even $23.

It’s price noting that additional promoting might comply with if ApeCoin loses the 200-hour shifting common at $14.30 as assist. Breaching this demand zone could encourage merchants to exit their positions, growing the downward strain behind APE. Underneath such circumstances, with out one other Musk endorsement affecting costs, a downswing to $11.50 might comply with.

Disclosure: On the time of writing, the writer of this piece owned BTC and ETH.