The price of Pepe (PEPE) has increased by over 8% in the past 24 hours and is currently trading at $0.0008541. The memecoin, a highly volatile token with a strong community backing it up, is attracting both retail and institutional investors.
In the last 24 hours, there was a slow but steady rally with a sharp rise in the middle of the day and then a small pull back; however, it still trades above yesterday’s opening level.
This has gone hand in hand with an increase to PEPE’s market capitalisation which now stands at $3,593,106,352. Besides that, the trading volume has also grown from about $640 million to $1.17 billion dollars showing a 30.98% increase from its previous period thus indicating increased trading activities and investor interest.
PEPE Technical Indicators Point to Continued Momentum
Analyzing recent price movements for PEPE reveals that the coin is trading within narrow ranges as support lies near $0.000007999 while resistance exists around $0.000008749. It has just broken out from an ascending triangle pattern which is generally considered bullish by most traders.
The Relative Strength Index (RSI) reading right now stands at 69.64: this implies that it is approaching overbought levels soon; nevertheless this might indicate possible retracement on short-term basis as well.The Chaikin Money Flow (CMF), however, stands at 0.07 suggesting that money flow into the asset supports the breakout.
Source: TradingView
Traders are eyeing for this level since it coincides with the 200EMA on daily chart i.e., .0000084$. A break above here may result in a robust upside move pushing prices to .00000126$ or even higher within next few days.
Market Sentiment and Investor Activity
Open interest (OI) has surged by 10% in the last 24 hours resulting in more opened positions overall. The increase in open interest implies that new money is entering the market and it is considered as a positive sign for the market. Additionally, PEPE’s derivatives trading volume increased by 17.21% to reach $932.54M indicating the growing interest and participation of different investors on futures and options tied to PEPE.
On-chain data indicates that only about 65% of all PEPE holders are now profitable compared with about 57% yesterday. This will attract more investors who will push up prices further thereby increasing the number of profitable positions.
As a result, additional $437 million worth of tokens may turn from loss-making into profit-making ones if there is another anticipated 16% growth in Pepe token value.
Potential Risks and Outlook
However, even during such bullish times there are pitfalls as well for traders. Nonetheless, recent decrease in daily volumes appears to be calming things down with some people possibly waiting out clear signals from the market.
In addition, big players that own PEPE tokens have also been reducing their holdings thereby affecting its price negatively in this way.
Another level at which PEPE may face strong selling interest is around $0.0000095, in line with the rising 200-day EMA. Failure to break above this price point may signal that the market is actually bearish and hence trigger a bearish reversal. However, if momentum remains unyielding and volumes remain above average for the PEPE token, it might strengthen the upward trend and thus allow for more price growth.
