- While PEPE’s price dropped, investors accelerated their accumulation trends
- Memecoin’s liquidations will rise sharply near $0.0000096
PEPE has been witnessing bears’ wrath over the last several days, with the memecoin’s price moving down on the charts. However, this trend might change soon.
At the time of writing, the memecoin was consolidating inside a pattern. And, a breakout could result in a whopping 300% price hike in the coming months.
PEPE’s possible rally
The frog-based memecoin has dropped by more than a 7% over the past week. In fact, in the last 24 hours alone, memecoin’s value dipped by over 5%.
AMBCrypto’s look at IntoTheBlock’s data revealed that after the latest price correction, only 196.3k PEPE addresses remained in profit. This accounted for 63% of the total number of PEPE addresses.
Source: IntoTheBlock
However, investors shouldn’t lose hope. Captain Faibik, a popular crypto analyst, recently shared a tweet highlighting an interesting development. As per the tweet, a bullish pattern appeared on the memecoin‘s chart in March.
Since then, PEPE’s price has been consolidating inside the pattern. At the time of writing, the memecoin was near the resistance of the pattern, and a breakout could result in a 300% mid-term rally.
Source: X
Apart from this, AMBCrypto previously reported about a new listing. To be precise, BitPoint Japan, a famous crypto exchange, announced its plans to list PEPE. Generally, listings often result in price upticks as it helps stir up bullish sentiment and also helps in increasing an asset’s adoption.
Therefore, AMBCrypto planned to dig deeper into PEPE’s current state to find out whether these two aforementioned developments could cause a bullish trend reversal in the near term.
Is a trend reversal around the corner?
As per our analysis of Santiment’s data, PEPE’s supply on exchanges dropped slightly last week. This meant that while the memecoin’s price dropped, investors chose to accumulate, reflecting their confidence in the memecoin.
At press time, the memecoin’s MVRV ratio had risen from -11% to -0.7%, which can be inferred as a bullish signal.
Moreover, PEPE’s network growth also registered a sharp uptick, suggesting that more addresses were created to transfer the token. Additionally, PEPE’s social volume started to rise – A sign of the memecoin’s popularity in the crypto space.
Source: Santiment
Realistic or not, here’s PEPE market cap in BTC’s terms
In case of a bullish trend reversal, it will be crucial for the memecoin to go above $0.0000096 as liquidations will rise sharply at that level. Whenever liquidation rises, it often causes short-term price corrections.
To the contrary, if the bearish trend persists, then the memecoin might find support at $0.0000088.
Source: Coinglass
