ApeCoin holders face pain as 95% suffer negative returns

ApeCoin (APE), which was created by Yuga Labs, once soared to great heights, attracting the attention of investors and enthusiasts alike. However, recent developments have cast a dark cloud over the once-promising digital asset.

With an astonishing 95% of ApeCoin holders finding themselves in deep trouble, the future of this innovative cryptocurrency hangs in the balance.

The negative sentiment regarding ApeCoin has become a major concern for its community. Once buoyed by optimism and enthusiasm, investors now face desperation as their holdings decline in value.

This loss of trust not only undermines the credibility of ApeCoin but also raises questions about its long-term sustainability.

Declining Network Growth, Trading Velocity Compound APE’s Challenges

Pauly, the founder of NotLarvaLabs, reveals a disturbing statistic: a 95% of ApeCoin holders are at risk Currently grappling with financial losses, painting a bleak picture for the once promising cryptocurrency.

sounds like @ApeCoin This is around the lowest price ever.

More than 95% of the holders are already in losses.

And this @yugalabs Teams, Insiders and “Launch Contributors” Paying Themselves Millions of Dollars a Month $monkey,

See here:

— Pauly (@Pauly0x) June 7, 2023

The drop in ApeCoin price can be mainly attributed to the decreasing growth of its network, which has seen a significant decrease in interest from new addresses over the past three months. This decline in interest reflects waning enthusiasm for APE among potential investors.

In addition to the decline in network growth, ApeCoin’s trading velocity, which measures the frequency of transactions, has also experienced a significant decline during this period.

This drop in trading activity further adds to the challenges facing AppCoin, indicating a lack of liquidity and low market participation.

Source: CoinGecko

as per the latest information from coingeco, ApeCoin is currently priced at $2.90, with a modest 24-hour rally of 0.2%. However, the cryptocurrency has declined significantly by 6.6% over the past seven days, underscoring the volatility and uncertainty surrounding its value.

Whales remain interested amid ApeCoin’s struggles

Interestingly, despite the above challenges, there remains a semblance of interest in AppCoin from influential investors known as whales.

These large addresses continue to demonstrate their association with APE, as evidenced by the increasing percentage of AppCoin they hold.

This suggests that some prominent investors still perceive potential in the cryptocurrency, although the impact of their involvement on AppCoin’s overall trajectory remains uncertain.

Bitcoin halfway from the $27K territory. BTCUSD chart: TradingView.com

Decline in MVRV ratio due to fall in APE prices

The falling price of APE has had a direct impact on its MVRV (Market Value to Realized Value) ratio, which shows that the No. of APE Holders Currently, there is a lack of significant incentive to sell your holdings.

This decline in the MVRV ratio raises concerns about selling pressure on APE and suggests that many investors are reluctant to part with their APE tokens while the price remains low.

Meanwhile, selling by short-term holders could put additional pressure on the price of APE and add to the challenges facing the cryptocurrency.

(The contents of this site should not be construed as investment advice. Investing involves risk. When you invest, your capital is subject to risk)

Featured image from iStock