In light of the recent market corrections, Aptos (APT) has returned to the lows of its Macro Range, reaching a six-month minimum at the beginning of February. According to an analyst, the digital currency’s recovery and persistent retests of this essential level could result in a rebound in the upcoming months.
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Aptos Bounces Back From 6-Month Low
Aptos has bounced back 24% from the latest market correction, which caused Bitcoin to plummet to $91,000 and numerous cryptocurrencies to hit monthly lows. On Sunday, the token momentarily plunged 34% from its daily peak above $7 to its lowest value since August 2024.
Market observer Daan Crypto Trades highlighted that APT has been oscillating within two horizontal ranges since its introduction. The upper horizontal range extends from $15 to $17, while the lower segment varies from approximately $4.80 to $5.45.
During the downturn, Aptos “didn’t completely sweep the August lows” but “managed to retain that same ~$5 range once more,” Daan remarked.
Likewise, Crypto Analyst Rekt Capital examined the cryptocurrency’s recent activity, indicating that “APT has now descended into the Macro Wedge Bottom, maintaining support there while displaying downside wicks underneath it.”
APT’s Macro Wedge Bottom also represents the “technical uptrend line that dates back to early 2023,” which is essential for sustaining the technical uptrend and the macro market structure overall. Rekt Capital suggests that the cryptocurrency needs to achieve Weekly Closed above this line, approximately at $5.97.
Nonetheless, he pointed out that, in the monthly timeframe, APT appears to reside within a Macro Range. The analyst notes that, within this Macro Range, APT seems to be forming a third cluster, but the price must maintain the critical $5.45 support area to uphold this range and rebound.
Should the cryptocurrency sustain continued stability above this threshold, it might reverse in the coming months, as prior clusters experienced “several rebounds after three monthly candles at the Range Low.”
However, the price could undergo several retests before a rebound occurs. He emphasized that former consolidations included a “downside wicking below support.”
APT To Break Out In Three Months?
If Aptos recovers, its price must surpass its 11-month downtrend. Based on Rekt Capital’s analysis, a rejection from the downtrend line, followed by a fall to the Range Low, could “indicate that the rebounds from the Macro Range Low are weakening, signaling diminished support there.”
Consequently, APT requires a robust rebound from this Macro Range Low “to counteract the diminishing returns” that appear to be manifesting from this range.
The 2023 rebound allowed Aptos to surge 211% from the range lows before encountering resistance near ATH levels, while the price recovery in 2024 recorded a 145% rise before retracting from the $13 mark.
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This indicates a possible decrease in returns from the range low, suggesting that Aptos must surge 95%, surpassing the $11 resistance, to break free from the downtrend line.
The analysis concluded that price stability at $5.45 is crucial for the cryptocurrency’s upward movement, and a Monthly Close above this level is imperative for a future price recovery and retest of the downtrend.
As of this writing, APT is trading at $5.74, reflecting a 23% decline over the weekly timeframe.
Featured Image from Unsplash.com, Chart from TradingView.com
