PEPE Price Jumps 23% Today: Why It’s A Bull Trap

PEPE Price Consolidation Forecasts 100% Rally If History Repeats

Pepe price spiked over the last 24 hours in line with the recovering markets, joining the ranks of the handful of crypto assets leading this rally. The recent Bitcoin crash shook the entire crypto market, leaving the frog-based meme coin down 51% in a week, causing significant losses for many investors. Despite the 24% jump over the past day, PEPE is still down 34% over the last seven days.

Pepe Price Struggles Uphill

The PEPE coin price chart shows a downward trend within a descending channel, indicated by the blue lines. The price has been moving lower, respecting this channel’s upper resistance and lower support.

Recently, the price tested the channel’s lower boundary and bounced upward, signaling a potential short-term reversal within the overall downtrend.

The recent bullish candle that formed after touching the channel’s lower boundary suggests increasing buying pressure. This could imply a potential short-term rally, especially if the next candles confirm this momentum.

PEPE price has a temporary resistance zone around $0.00000767 at the 50-day EMA ($0.0000104) and at the 200-day EMA ($0.00001027), which aligns with the upper boundary of the descending channel. There is also a key support level at $0.000006, close to the recent bounce point within the descending channel.

Both EMAs are trending downward, reinforcing the bearish momentum. The price is currently below both, indicating bearish market sentiment.

The Relative Strength Index (RSI) is 32.66, near the oversold territory. This suggests that the market might be experiencing a short-term bounce, as it typically does after hitting oversold levels. The Chaikin Money Flow (CMF) is at -0.19, indicating that there is still a negative money flow, but the recent uptick could signal a reduction in selling pressure.

PEPE Price Chart Analysis
PEPE Price Chart Analysis

If the PEPE price rallies and breaks above the 50-day and 200-day EMAs, it may signal market strength and subsequently invalidate the current bearish thesis. The price of PEPE would test the upper boundary of the falling channel around $0.000012, which is a 50% rise from the current price.

Bullish Scenario for PEPE Coin Price

Data from Coinalyze shows PEPE open interest rose by 4.86% in the last 24 hours, coupled with the surge in price, which signals a rising interest of investors in the token.

Additionally, CoinGecko data shows that PEPE’s daily trading volume increased slightly by 1% in the last 24 hours, which coincided with the bounce off the channel support. A high volume on such a move suggests strong interest and could indicate that the current level might be a temporary bottom.

PEPE Open InterestSince the overall trend is still bearish, a clearer trend reversal signal may or may not be a breakout above the 200 EMA before considering long-term positions.

The post PEPE Price Jumps 23% Today: Why It’s A Bull Trap appeared first on CoinGape.


Earn more PRC tokens by sharing this post. Copy and paste the URL below and share to friends, when they click and visit Parrot Coin website you earn: https://parrotcoin.net0


PRC Comment Policy

Your comments MUST BE constructive with vivid and clear suggestion relating to the post.

Your comments MUST NOT be less than 5 words.

Do NOT in any way copy/duplicate or transmit another members comment and paste to earn. Members who indulge themselves copying and duplicating comments, their earnings would be wiped out totally as a warning and Account deactivated if the user continue the act.

Parrot Coin does not pay for exclamatory comments Such as hahaha, nice one, wow, congrats, lmao, lol, etc are strictly forbidden and disallowed. Kindly adhere to this rule.

Constructive REPLY to comments is allowed

Leave a Reply