PEPE has recently faced heavy selling pressure, witnessing a downward trend in its value. However, this situation may soon see a shift.
Currently, the memecoin is in a consolidation phase within a pattern, and a breakout could lead to a significant 300% price increase in the upcoming months.
Prospects of PEPE’s Rally
The frog-themed memecoin has experienced a drop of more than 7% in the past week, with a further 5% decrease in its value occurring within the last 24 hours.
Reviewing data from IntoTheBlock, only 196.3k PEPE addresses were found to be in profit after the recent price correction, representing 63% of the total addresses holding PEPE.
Despite the recent downtrend, hope remains alive. Popular crypto analyst Captain Faibik highlighted a bullish pattern on PEPE’s chart back in March, indicating a potential price surge.
Currently, PEPE is hovering close to the resistance level of the pattern, and a breakout could trigger a substantial mid-term rally of 300%.
Additionally, recent reports mentioned a new listing for PEPE on BitPoint Japan, a prominent cryptocurrency exchange. Such listings typically generate positive market sentiment, fostering increased adoption and potentially driving prices higher.
As a result, a thorough investigation into PEPE’s current status was on CryptoCrypto’s agenda to assess if these developments might spark a bullish trend reversal soon.
Anticipating a Trend Reversal
Santiment’s data analysis revealed a slight decline in PEPE’s exchange supply last week, suggesting that despite price drops, investors opted to accumulate, displaying strong confidence in the memecoin.
At present, PEPE’s MVRV ratio has shifted from -11% to -0.7%, indicating a positive signal for a potential bullish trend.
Furthermore, PEPE’s network growth has notably increased, implying a growing number of addresses being created to facilitate token transfers. Moreover, a rise in PEPE’s social volume indicates growing popularity within the crypto community.
Should a bullish trend materialize, surpassing the $0.0000096 mark will be crucial as liquidations are expected to surge significantly at that level, often leading to short-term price corrections.
Conversely, if the bearish trend continues, PEPE might find support around $0.0000088.