ApeCoin (APE), the new cryptocurrency that was recently launched by Yuga Labs, aims to be the bedrock of the Otherside metaverse and recently, the token has experienced massive volatility leading into and after its digital land sale. APE’s price dropped from $26 at the peak on Apr. 28 to $14 on May. 2 — more than a 45% drop within a few days of the mint. The price has now dropped to the $6 range.
Given the current volatility, investors will be wondering if ApeCoin price will ever recover to its previous trading range. Let’s first take a look at the historic price trend, particularly what happened on the Otherdeed mint day; then take a deeper dive into the amount of APE that will be locked and released in the next three years. This will provide a better understanding of the supply and demand dynamics that could affect the price going forward.
ApeCoin surged after the Otherdeed announcement
In the first couple of days since APE’s listing on March 17, 2022, the price jumped from roughly $7 to $17 at the peak ; an increase of 143%! The price had since fluctuated between $10 to $15 until rumors began circulating of the Otherside metaverse land sale.
APE historic hourly price since launch. Source: CoinGecko
The chart above shows APE made a sharp move up of almost 24% within a day from $13.16 to $16.30. When the Otherdeed rumours surfaced on Twitter on April 20, APE catapulted to $26 on April 28 after the sale was officially confirmed by OthersideMeta two days prior.
MAYC & BAYC average price, volume pre-mint. Source: OpenSea
The price of Yuga Lab’s Bored Ape Yacht Club (BAYC) and the Mutant Ape Yacht Club (MAYC) nonfungible token (NFT) also followed a similar pattern on April 20. MAYC reached an all-time high at 43 Ether (ETH) on April 26, which was the day the sale was confirmed and BAYC started to bounce back from its 105 ETH low to a new all-time high at 168 ETH on May 1.
Chaos ensued as Yuga confused users during the Otherdeed sale
Otherdeed was seen as an opportunity for new investors who have been priced out…