PEPE meme coin rebounds from critical level
Mimi Baby Coin appears to be bouncing after drawing a series of red candles over the past two days.
However, investor behavior and market conditions do not appear to support a positive outcome.
Meme coin investors can choose to sell
PEPE price barely stabilizes above the critical support level $0.00001146 and faces the risk of further decline. This is due to the constant flow of funds from the asset, which indicates a decrease in conviction.
This can be seen in Chaikin Money Flow (CMF). It is a technical analysis indicator that measures buying and selling pressure during a specific period. It uses volume and price data to measure the strength of a market trend, helping traders identify potential reversals and confirm trends.
The index is currently at a two-month low, indicating that outflows are intensifying selling pressure.
This is supported by the behavior of investors, especially those who are profitable. When monitoring active addresses by profitability, it can be seen that PEPE holders who observe winnings are constantly active on the network.
This is worrying because these investors tend to sell their assets for profit. In general, their participation under 25% is relatively less worrying, but more than the threshold is problematic, and this is the case with PEPE.
PEPE Price Prediction: Bounce Back?
The PEPE price, which is trading at $0.00001195, appears to be bouncing from the support level at $0.00001146. This is a positive development for the meme coin and its investors. However, the latter's lack of conviction may cost him his recovery.
A potential sell-off, as mentioned above, could result in the PEPE price losing this crucial support and falling to $0.00001007.
On the other hand, a successful bounce will enable the PEPE price to rise to $0.00001369. Once this resistance level is broken, the meme coin can continue to rise towards $0.00001600.