Pepe (PEPE) Price Increases 75%, Boosted by Coinbase Listing
Pepe Investors Realize $1.16 Billion Profit
Decreasing Buying Pressure Could Push Price To $0.000019
After Coinbase listed the frog-themed meme coin Pepe (PEPE) on its platform, the price of PEPE took a big leap, increasing by 75% in the last 24 hours.
While this listing is a significant development for PEPE holders, on-chain analysis suggests that the price may start to lose some of its gains.
Pepe Owners Realize Their Profits
PEPE’s price was around $0.000013 in the morning hours before Coinbase’s announcement. However, Coinbase’s General Counsel Paul Grewal announced on social media that PEPE would be listed on the exchange. “You’ve been waiting a long time, here it is. Coinbase is adding PEPE to our list plan today. Thanks for your patience,” Grewal wrote.
Shortly after the post, Coinbase approved PEPE with a frog emoji and the token began trading on the exchange. Interestingly, this announcement coincided with Robinhood’s decision to list the meme coin, and the price of PEPE quickly rose to $0.000022.
PEPE’s price increase caused its trading volume to increase to $53.14 trillion and its total market value to reach $1.16 billion. However, this huge increase also indicates that selling pressure is increasing. Therefore, there is a possibility that PEPE’s price will experience a decline in the short term.
RSI Indicator Signals Short-Term Bearishness
Although profit-taking has slowed at the time of writing, the Relative Strength Index (RSI) suggests that PEPE is likely to experience a correction in the short term. The RSI is a momentum indicator that measures the speed and magnitude of an asset’s price movements and is often used to identify overbought or oversold conditions.
When the RSI is above 70, it suggests that the asset is overbought and the price may need to correct. When it drops below 30, the asset could be ready for a potential rally. PEPE’s RSI is currently well above the overbought level, suggesting that the price could pull back.
Daily Chart and Potential Price Correction
PEPE reached a new all-time high of $0.000023 after its Coinbase listing. However, there is no resistance at this level and overbought conditions could lead to a pullback.
If a correction occurs, PEPE’s price could drop to $0.000019, which is where the 23.6% Fibonacci retracement level is. Also, if profit taking intensifies, the price could drop to $0.000015. However, if the buying pressure continues, this scenario may not happen and PEPE’s price could rise to $0.000026.
Although PEPE's price has experienced major fluctuations following its Coinbase listing, market conditions and investor movements will determine the sustainability of this rise.