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Aptos Price Prediction After the Falling Wedge Breakout

Crispus Nyaga
Crispus Nyaga
Crispus Nyaga
Author:
Crispus Nyaga
Writer
Crispus is a financial analyst with over 9 years in the industry. He covers cryptocurrencies, forex, equities, and commodities for some of the leading brands. He is also a passionate trader who operates his family account. Crispus lives in Nairobi with his wife and son.
March 14th, 2023
  • Aptos price made a bullish breakout this week.
  • It was forming a falling wedge pattern on the daily chart.

Aptos price has jumped in the past three straight days amid a new crypto bull run. APT soared to a high of $14.61, which was the highest point since February 19th. It has jumped by over 49% from its lowest level this month, giving it a market cap of over $2.4 billion.

On-chain metrics are disappointing

Aptos price has soared even as on-chain metrics remain disappointing. Data compiled by DeFi Llama shows that the total value locked (TVL) in the ecosystem has crashed from over $60 million earlier this year to the current $36 million. In APT terms, the TVL has retreated to about 2.96 million APT.

Most DeFi platforms in Aptos have seen their volume drop in the past few weeks. PancakeSwap, the biggest part of its ecosystem, has seen its total assets drop by 21.54% in the past 30 days. Similarly, Tortuga, LiquidSwap, and Ditto, have seen their TVL retreat by over 10% in the same period.

Other on-chain numbers, which are listed in this page, shows that the transaction history has been in a downward trend. It has handled 1.5 million transactions in the past 3 days while transaction fees have dropped to about 8.12 APT.

Therefore, the current Aptos price rally is mostly because of the strong performance of cryptocurrencies. Bitcoin managed to jump to $26,000 while the total market cap of all cryptocurrencies peaked at over $1.08 trillion.

This rally happened as investors started shifting their views about the upcoming Federal Reserve decision. Data published on Tuesday showed that the headline consumer price index (CPI) dropped for the eighth straight month. It dropped to a low of 6.0%, the lowest level in months. It has dropped from last year’s high of 9.1%.

Aptos price prediction

The daily chart shows the technical reason why the APT price has bounced back. As shown above, Aptos price was forming a falling wedge pattern, which is shown in black. In price action analysis, this pattern is usually a bullish sign. The bullish breakout happened when the token approached the confluence level.

Aptos remains above the 50-day and 100-day moving averages, which is a bullish sign. It has also moved above the 38.2% Fibonacci Retracement level. Therefore, because of the wedge, I suspect that the coin will continue rising as buyers target the next key resistance point at $16.

Contributors

Crispus Nyaga
Writer
Crispus is a financial analyst with over 9 years in the industry. He covers cryptocurrencies, forex, equities, and commodities for some of the leading brands. He is also a passionate trader who operates his family account. Crispus lives in Nairobi with his wife and son.