Pepe: Evaluating Memecoin’s Next Moves After Liquidity Sweep
After experiencing a general downturn in the cryptocurrency markets, Pepe [PEPE] is currently testing crucial support levels, hovering around $0.00000822. This validates the bearish trend identified by several Breaks of Structure (BOS) below $0.00000900.
The recent trading activities have witnessed liquidity being swept below the $0.00000800 threshold, indicating a potential platform for price recovery. This was evident during the episode of equal lows that resulted in a brief uptick in prices.
If PEPE manages to reclaim the price range between $0.000009 and $0.00001, it might indicate a shift in market sentiment from negative to positive. This pivot largely depends on PEPE’s ability to maintain levels above $0.00001, potentially initiating an uptrend and attracting investors seeking entry points during this market dip.
If support levels are not maintained, a further decline could ensue, with PEPE likely testing lower support levels around $0.00000700.
This scenario could reinforce the prevailing bearish trend, underscoring the importance for investors to monitor sustained closures below the current support level as an indication of prolonged market weakness.
PEPE’s total liquidations
Despite the bearish atmosphere, PEPE has displayed signs of stabilization following a turbulent two-day surge in total liquidations. Data shows a significant calming down, with both short and long liquidations experiencing a sharp decline.
For instance, short liquidations on Binance alone plummeted from $63M and $22M in the last two days to $7.05m. Long liquidations also dropped to $11.13M, signaling decreased volatility.
This decline might suggest that traders are becoming more careful, possibly waiting for clearer signals amidst the ongoing market correction.
A decrease in liquidations could create a more stable setting for PEPE to regain its footing. Conversely, an uptick in liquidations could lead to further price drops, urging investors to remain attentive.
The number of significant transactions remains steady
Despite the recent market downturn, the volume of sizable transactions for PEPE has remained stable, showing no notable spikes or declines. The transaction count is at 337, mirroring the consistent pattern observed since early 2025.
This steady transaction volume amid declining PEPE prices indicates a sense of caution.
A stable transaction activity may suggest a lack of frequent buyers and sellers, hinting at a potential stabilization or gradual recovery phase.
If this trend persists, it could suggest a consolidation phase for individual traders rather than major holders.
Nevertheless, a sudden surge in transaction volume could trigger a rapid recovery or further price declines if influenced by sell-offs.