PEPE: This is why traders could avoid jumping the memecoin bandwagon
- Memecoin PEPE made to unarCrush’s list of trending cryptocurrencies on the social front
- However, PEPE’s price action and on-chain activity showed that the bears could strengthen their position in the coming days
Memecoin Pepe [PEPE] has managed to take over the cryptocurrency market by storm. The token has managed to dethrone some veterans in the memecoin community. But how long till PEPE makes its way to the cryptocurrencies that manage to claim the throne?
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As per LunarCrush’s data, PEPE made its way among the top three trending cryptocurrencies on all social dimensions. Although Bitcoin [BTC] held its #1 position, the memecoin managed to earn the #2 position. PEPE was followed by Ethereum [ETH] which ranked #3 on the social front.
“You have to let it all go, Neo. Fear, doubt, and disbelief. Free your mind.”$PEPE keeps pushing strong on all social dimensions today, ranking just behind #bitcoin, yet at the same time, above #ethereum.
“You take the blue… pic.twitter.com/Z7N2UncF0a
— LunarCrush (@LunarCrush) May 16, 2023
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Jumping around town
Despite its noteworthy performance on the social front, PEPE’s on-chain activity had a slightly different tale to tell. At press time, although the total amount of holders stood at its highest, PEPE’s volume did take a hit.
As per data from the intelligence platform, PEPE’s total number of holders stood at 113k. However, its volume decreased over the last 4 days to stand at 322.04 million at the time of writing. A decreasing volume wasn’t exactly a great sign for the memecoin.
Furthermore, the weighted sentiment too witnessed a decline since the beginning of May and stood at 0.984 at the time of writing. This too wasn’t a great sign for the frog-themed token.
Some tired frogs around here?
Although PEPE made it to the list of trending cryptocurrencies on CoinMarketCap and ranked #1, the press time scenario didn’t favor the memecoin. PEPE’s seven-day performance didn’t paint a rosy scenario for the memecoin. Furthermore, as per the chart given below, PEPE’s Relative Strength Index (RSI) showed lack of buying pressure.
The RSI hovered below the neutral line and stood at 46.65 at the time of writing. Additionally, the Moving Average Convergence Divergence (MACD) indicator also depicted a neutral picture for PEPE. The signal line (red) was running above the MACD line (blue) at the time of writing.
Read Pepe’s [PEPE] Price Prediction 2023-2024
This indicated the lack of significant bullish or bearish pressure for PEPE at press time.
In addition to the aforementioned bearish narrative, data from Santiment also showed that as of 16 May, PEPE’s supply on exchanges stood at 131.19T. A rise in the supply on exchanges could mean that investors and traders were interested in trading their PEPE for other cryptocurrencies.
Considering the aforementioned scenario, the question remains — Will PEPE see recovery or will the frog jump back into its pond? The answer to that could lie in PEPE’s seven-day performance as the memecoin exchanged hands approximately 14% lower in the last seven days to trade at a press time price of $0.0000016771.