PEPE, a prominent memecoin, has encountered a series of price corrections following its all-time high, losing its bullish momentum. Over the past week, PEPE’s value decreased by more than 7%, including a 6% drop in the last 24 hours, as reported by CoinMarketCap. This decline raises questions about the potential for a market reversal, particularly as a symmetrical triangle pattern has appeared on the coin’s chart.
What is Happening with PEPE?
Currently, PEPE is trading at $0.00001089 and boasts a market capitalization exceeding $4.5 billion. Despite the bullish chart pattern, the coin fell below the lower boundary of this formation, indicating potential further declines. Should this bearish trend continue, PEPE could reach a support level of $0.00000898. Conversely, a bullish breakout could see PEPE reapproaching its all-time high.
PEPE Chart Analysis
Data from Santiment reveals increased selling pressure on PEPE recently, with a spike and subsequent decline in its circulating supply on exchanges. Notably, large investors, or whales, have been accumulating PEPE, increasing the supply held by top-tier addresses, despite the market’s overall selling pressure. This accumulation could be a bullish signal for the coin.
Key Insights for Investors
Investors can draw several actionable insights from the current market situation:
- Monitor the $0.00000898 support level for potential buying opportunities if the bearish trend continues.
- A breakout above the symmetrical triangle could signal a strong bullish move, making it a critical point for buying.
- Whale accumulation suggests potential bullish sentiment; keep an eye on top-tier address activity.
- Watch PEPE’s RSI and MACD indicators for early signs of trend reversals.
Overall, PEPE demonstrates a precarious balance between bearish and bullish signals, with market indicators such as RSI and MACD showing a tilt towards bearish trends. However, the Chaikin Money Flow (CMF) indicates an upward movement, which might benefit the bulls. According to Hyblock Capital, while PEPE could descend to its support level, a rally supported by the bulls might push the price to $0.0000136 before testing its ATH again.