ApeCoin price breakout stalls after $2.4M BAYC NFT robbery — What's ahead?

ApeCoin (APE) underwent a humble selloff a time aft Bored Ape Yacht Club (BAYC), a fashionable nonfungible token (NFT) brand, reported losing $2.4 cardinal worthy of integer collectibles successful a robbery.

APE terms rally to $25 stalls

The hacker compromised BAYC's authoritative Instagram account, utilizing it to station a phishing nexus that withdrew tokens retired of users' cryptocurrency wallets.

On April 25, the BAYC Twitter grip confirmed the hack, albeit excessively precocious arsenic users had already transferred tokens to the hacker's account, frankincense losing the ownership of their highly costly Bored Ape, Mutant Ape, and Bored Ape Kennel Project NFTs.

annnd determination goes similar 100 apes to the hacker https://t.co/X2ts0mncTt pic.twitter.com/1tU2MVlpxU

— chill feline satellite (@MoonOverlord) April 25, 2022

OpenSea, the biggest NFT marketplace by measurement and earnings, tagged the stolen NFTs arsenic suspicious. But adjacent then, the hacker ended up selling 4 BAYC collectibles for astir $1.6 million.

APE, which serves arsenic a governance token to BAYC's decentralized autonomous enactment ApeCoin DAO, dropped by astir 11%  to $17.41 this April 26.

As it fell, the token besides deviated from the upside people of its prevailing "symmetrical triangle" signifier astir $25, arsenic shown successful the illustration below.

APE/USD regular terms illustration featuring 'symmetrical triangle' setup. Source: TradingView

The correction confirmed beardown bearish sentiments astir $20, a level that coincides with the 0.382 Fib enactment of the Fibonacci retracement graph, drawn from the $41-swing precocious to the $8.50-swing low. This raised the anticipation of APE extending its correction toward the 0.236 Fib enactment adjacent $16 successful the mean term.

Rising wedge risks further APE selloff

More downside cues successful the ApeCoin appeared successful the signifier of a "rising wedge" pattern.

In detail, rising wedges signifier erstwhile the terms trends higher wrong a scope defined by 2 contracting, ascending trendlines. These patterns typically resoluteness aft the terms breaks beneath the little trendline alongside a emergence successful trading volumes.

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ApeCoin has been forming a akin ascending operation since April 2022, arsenic shown successful the illustration below. 

APE/USD four-hour terms illustration featuring rising wedge setup. Source: TradingView

A rising wedge's breakdown people is measured aft adding the maximum region betwixt the precocious and little trendlines to the breakout point. Therefore, APE's downside people for Q2 is betwixt $14.37 and $17.50.

The views and opinions expressed present are solely those of the writer and bash not needfully bespeak the views of Cointelegraph.com. Every concern and trading determination involves risk, you should behaviour your ain probe erstwhile making a decision.