PEPE Price Forecast: Is There a Chance of Avoiding a Replay of the 60% Pullback from the Summer?
Support for PEPE at the $0.0001711 mark has been maintained by the bulls. Despite the rapid decline over the past three weeks, the On-Balance Volume (OBV) indicator suggests that selling pressure has not been too intense. It has remained above the levels seen in May, indicating a higher probability of a recovery rather than further losses.
According to the latest report from Lookonchain on X (formerly known as Twitter), a large investor who had previously sold off their PEPE holdings during the market downturn is now accumulating the meme-based cryptocurrency once more. This renewed interest demonstrates confidence in the potential for a bullish comeback.
Can PEPE Avoid a Repeat of the Previous Summer Pullback?
Analyzing the 3-day chart reveals a somewhat bearish outlook for PEPE’s price movements. The recent session closing at $0.00001705 on December 17 fell below the previous higher low of $0.00001729 from November 26, favoring sellers in the market.
A potential price gap can be identified in the $0.00001974 to $0.00002259 range, suggesting a probable bounce towards the $0.00002 to $0.0000225 levels in the near future.
Previous price action in the PEPE market showed a significant retracement to the 78.6% level three months after reaching a new peak in late May. If history repeats itself, we could witness a drop to around $0.00001067 in the weeks ahead before a potential recovery.
It is important to note that the current market conditions are vastly different from those in the past. While Bitcoin experienced a prolonged downward trend from March to October, the scenario has now shifted dramatically, with the cryptocurrency testing the $100k mark multiple times and hitting a new high at $108k. As a result, the outlook for PEPE appears more optimistic in the upcoming period, potentially avoiding a substantial retracement to $0.00001067.
Investors can anticipate a price movement towards $0.0000144, followed by a period of consolidation with lower highs, before witnessing a bullish surge targeting levels above $0.000042.
Disclaimer: The opinions shared in this article are based on the writer’s perspective and should not be considered as financial, investment, or trading advice.