Currently, Pepe [PEPE] is testing a critical barrier at $0.0000077, following a notable rejection of a bullish pennant at $0.0000063, leading to a substantial 20% surge in its recent trading price.
The resistance level at $0.0000077 is hindering the bullish momentum from breaking through to challenge the higher resistance at $0.0000091.
This consolidation phase is setting the stage for potential upward movements, generating speculation within the market about the continuity of the bullish rally.
Source: TradingView
The stochastic RSI indicator for PEPE is indicating a possible bullish divergence, hinting that the current consolidation phase might culminate in an upward trend. However, the approach of the stochastic RSI towards the overbought territory leaves room for a bearish scenario as well.
Despite the bullish pennant formation on the chart boosting the probability of a breakout, the significant hurdle posed by the $0.0000077 resistance level remains a major challenge for the bulls.
Observing PEPE Whales’ Activity
An in-depth analysis of market trends using the Coinglass liquidation heatmap unveiled intriguing insights into whale activities within the PEPE ecosystem.
The data suggests a resurgence in PEPE whale activity, with key market players strategically positioning themselves around current price levels, hinting at a potential surge in excitement if PEPE experiences a significant price movement.
Source: IntoTheBlock
Is Supply Stability Functioning as a Long-Term Price Anchor?
Despite encountering short-term fluctuations, PEPE’s total supply has exhibited stability in recent months. This consistent supply trend could serve as a stabilizing factor for its long-term price trajectory if demand continues to hold strong.
Source: Santiment
The presence of a sizable liquidation pool of 1.43 million at the $0.0000075 level supports the positive sentiments surrounding PEPE. This substantial liquidation volume might act as a catalyst, propelling prices above the crucial resistance level.
Source: Coinglass
Looking forward, market participants are closely monitoring the resistance at $0.0000077. A successful breakthrough could propel PEPE towards its recent peak of $0.0000091. However, a failure to breach this level might lead to a retracement towards the support level around $0.0000069.