Over the past week, ApeCoin, the utility token of the Bored Ape Yatch Club ecosystem, has been on a bullish rally that has seen it surpass its previous all-time high.
Throughout the weekend, ApeCoin, the native utility token dedicated to the Bored Ape Yacht Club (BAYC) ecosystem, has been a trend with an increase of more than 50%, according to Santiment metrics.
ApeCoin has seen the biggest growth in the crypto ecosystem over the past week, driven by the announcement of the creation of its own metaverse. The BAYC community backed the news, pushing the price of ApeCoin up to almost $18, surpassing MANA, the token of Decentraland, and becoming the number one token in the metaverse.
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Beware of ApeCoin divergent signs!
Despite last week's bullish rally, Santiment has warned users to be cautious, as the currency's metrics show certain divergences that could indicate a slowdown in price.
First, data analysis shows that during last week's massive move, some of the largest transactions were deposits sent from cold storage addresses to the Binance exchange.
What does this mean? This massive movement of tokens could indicate that major holders are preparing to sell and cash out profits.
Secondly, Santiment has noticed a decrease in active addresses, which have fallen compared to the previous ATH. On the other hand, $APE's “Age Consumed” metric has seen a significant spike over the past 24 hours, pointing to a Possible reversal of the bullish trend.
Finally, the data seems to indicate a short-term bullish rally, which will attract new investors, before a sell-off.
Whales control 50% of APE tokens
ApeCoin is one of the most popular and promising metaverse tokens, with over 50.000 holders in just over a month since its launch, according to data from CoinMarketCap.
During its launch, the developers decided to offer $APE tokens as a reward to BAYC NFT owners. The project pledged to distribute 150 billion tokens between NFT owners through an airdrop.
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The developers' idea has sparked a large concentration of whales, in fact, the top 100 addresses hold over 50% of the 284 million tokens in circulation. Furthermore, the top 10 wallets hold over 26 million $APE, which is equivalent to almost 9,16% of the tokens in circulation. In fact, a single address holds 3,03% of the current supply.
ApeCoin has a high sales volume
The bullish rally of the last week has taken ApeCoin to surpass its previous ATH which was above $14. However, more importantly, the coin has recorded 1.930 billion worth of transactions in 24 hours, according to data from CoinMarketCap.
The cryptocurrency's success is due to its connection with the NFT project, Bored Ape Yacht Club, one of the most popular in the crypto universe and in which celebrities such as Justin Bieber and Neymar Jr. have participated.
