#ApeCoin (APE), the native token of the $APE
ecosystem, has added 66% in value over the past 24 hours.
At the time of writing, the cryptocurrency's #exchange rate has surpassed $1 and may continue to rise. Let's figure out with the help of technical indicators and onchain metrics what the reason for the sudden rally is.
The launch of ApeChain has drawn attention to ApeCoin
One of the reasons for the sharp rise in the APE price was the launch of the Layer-3 #apechain network developed by ApeCoin #DAO called Arbitrum Orbital Chain. As a result, the token is back in the top 100 cryptocurrencies by market capitalization.
The project team said on Twitter that bridges are already active and users can access the blockchain.
âBridges are active. Transfer your tokens to ApeChain now to start earning in APE, ETH and various stablecoins,â ApeCoin announced.
Within three hours of the launch, Camelot - an Arbitrum-based DEX - reported that ApeChain volume had surpassed $5 million, a trend that received additional support from ApeCoin's overall onchain volume.
According to Santiment data, the volume has increased by nearly 3,000% in the last 24 hours and is approaching the $1 billion mark. If the figure continues to rise along with the price, the altcoin's exchange rate could exceed $1.25 in the coming days.
The APE network has recently shown remarkable growth, tracked by the number of new addresses that have begun interacting with the protocol. As of October 18, the number stood at 83. By the time of this writing, the number of participants has increased to 3,235.
This indicates that more people are starting to use the APE token. If the trend continues, demand for APE could increase, which in turn would potentially increase the price of the altcoin.
APE price prediction: a possible rise to $2
From a technical point of view, ApeCoin has come out of a downtrend that has lasted since June. All this time, the price of the altcoin fluctuated between $0.55 and $0.85.
Now, the Moving Average Convergence and Divergence (#MACD ) indicator is showing significantly positive values, which has not been the case for almost a month. MACD measures momentum, where negative values indicate bearish momentum and positive values indicate bullish momentum.
If investors remain interested in APE, its price could reach $1.47 and even rise to $2.
However, if APE holders who did not sell the token during the long slump decide to lock in profits, the altcoin will face a correction to $0.86.
