God candle formation leads to sixmonth high for APT with expectations of continued rally
APT claimed the top spot as the biggest gainer on October 22, as the total value locked in the protocol experienced a significant surge. Aptos (APT) saw a 9% increase in the past 24 hours, reaching a daily high of $11.13 at the time of writing. Its market capitalization exceeded $5.7 billion, with a daily trading volume surpassing $597 million.
This price rally follows the altcoin’s breakout from a narrow trading range of $9.7 to $10.1, which it had been trading within for the past five days. During the early trading hours on October 22, a strong upward movement occurred on the APT chart, pushing its price from $10.10 to $11.12.
Several recent partnerships and developments have contributed to this rally. Firstly, Aptos integrated with Echo Protocol, a decentralized finance platform, on October 21. This integration led to a total value locked in Aptos of $150 million. Echo protocol users can now earn returns of up to 10% in APT, further expanding the utility of the altcoin.
According to data from DeFi Llama, Aptos’ total value locked currently stands at its all-time high of $2.15 billion. This makes it the seventh-largest blockchain in the DeFi industry, surpassing its competitor Sui (SUI), which has a TVL of $1.64 billion.
Furthermore, Aptos gained attention after announcing a strategic partnership with crypto exchange MEXC. This collaboration will involve joint initiatives aimed at promoting APT through a series of events.
These developments have sparked renewed interest among traders, as evidenced by the surge in open interest in the futures market from $213.9 million to $274 million within the last 24 hours. This marks a six-month high and suggests that traders expect the rally to continue in the short term. The community sentiment metric on CoinMarketCap also shows a similar outlook, with the majority of traders expressing bullish sentiment.
Technical indicators further support the bullish outlook. Pseudonymous analyst AMCrypto observed that Aptos is forming a bullish flag pattern, supported by increasing total value locked, a surge in daily active users, and smart money quietly accumulating the token. These factors indicate strong fundamentals and technical momentum, positioning Aptos for a potential breakout to new all-time highs in the fourth quarter.
Based on the chart shared by the analyst, a breakout above the $10.50 resistance level would confirm the bull flag. At the time of writing, APT had already surpassed this level, priced at $10.96. As a result, APT could rally towards a short-term price target of around $12.50, as projected by AMCrypto.
On the 1D APT/USDT chart, the 50-day moving average has crossed the 200-day moving average, forming a golden cross. This is a sign of a major trend reversal to the upside in technical analysis. Additionally, the Relative Strength Index has remained above the neutral position since September 18, indicating sustained interest from investors and supporting the overall bullish narrative.
With the bulls maintaining control and the recent golden cross signaling a longer-term uptrend, APT could continue to push towards higher resistance levels. The next target could potentially be around $11.08, marked by the upper Bollinger Band.
In summary, APT has experienced significant gains, reaching the top gainer spot on October 22. Various partnerships and developments have fueled this rally, and technical indicators suggest that the bullish momentum could continue. Traders are optimistic about APT’s future performance, and the altcoin could potentially reach new all-time highs in the coming months.
