Is it a Good Time to Purchase PEPE or is it Better to Wait? Insightful Price Forecasts Unveiled
On the 5th of March, Pepe [PEPE] experienced a notable retracement, mirroring the broader movement in the cryptocurrency market. Bitcoin [BTC] achieved an all-time high in USD at $69k on that day, only to plummet to a low of $59k shortly after.
According to CryptoCrypto, a significant whale withdrew $6.3 million worth of PEPE from the centralized exchange Binance on the 3rd of March. In conjunction with the technical signals, this action presented a bullish indication for the meme coin.
PEPE’s Current Status and Range Establishment on Shorter Timeframes
Analyzed from the 12-hour chart, it was evident that the market’s framework remained notably bullish. The swing low for the H12 timeframe stood at $0.00000263, underscoring that the bullish trend would persist as long as prices stayed above this threshold.
A detailed review of the 4-hour chart underscored the critical nature of the swing low at $0.00000495, which the bulls needed to safeguard. A breach below this level would trigger a bearish shift in the market structure for the 4-hour timeframe.
Hence, the $0.00000495 swing low and the $0.0000087 local high could be recognized as the boundaries of a short-term range, guiding potential trading actions.
The RSI on the H12 chart commenced a descent, indicating a slowdown in momentum while still hovering at 70, signaling overbought conditions.
It is imperative to note that this condition does not necessarily imply an imminent retracement. The OBV experienced a decline in recent days as selling pressure intensified, yet these movements only marginally impacted the gains amassed over the preceding ten days.
Evaluating Market Sentiment in the Futures Domain
Since the 4th of March, the Open Interest surrounding the meme coin witnessed a downward trajectory. However, in the last 12 hours, it surged from $60.15 million to $78 million, indicating a resurgence in strong bullish sentiment.
Simultaneously, the spot CVD has maintained an upward trajectory amid PEPE’s upsurge, indicating sustained high demand. Consequently, further upward movements are anticipated.
Looking ahead, the $0.000011 level emerges as the subsequent bullish target to watch for.
Disclaimer: The insights shared are personal opinions and do not serve as financial, investment, trading, or any other form of advice.