Pepe’s price has increased by 3.9% in the past 24 hours, having fallen to an intraday low of $0.00002066. The gain is part of an 85.6% weekly gain after Pepe broke out of a long-term bull pennant consolidation. PEPE’s price is currently consolidating around $0.00002257, with resistance forming. Can PEPE overcome this hurdle and surge higher?
Pepe Price faces key headwind
PEPE price is currently in a price discovery zone but has found local resistance around $0.00002500. Price discovery zones can be difficult to analyze because they do not have historical prices for potential support and resistance areas. However, price points like $0.000025 are often psychological resistance levels because they represent a fixed round number that is also half of $0.000050.
This resistance may be due to profit-taking by traders and short-term investors. Data from IntoTheBlock shows that the inflow of large holders has decreased by 29% in the past 7 days, and the number of trades has dropped from over 3,000 between November 14 and 18 to 660. This indicates that large investors are taking profits on long positions and waiting for the next opportunity to enter the market.
Why the price of Pepe may soar 1,000% after breaking this resistance
Frog-themed crypto assets are in a strong upward trend, breaking out of a long-term symmetrical triangle pattern and supported by increased volume and a parabolic curve.
The breakout at $0.00002175 confirmed bullish momentum, with Fibonacci extensions pointing to further upward targets. A strong bullish candle breaking the symmetrical triangle confirmed buying pressure. No reversal signs have appeared. The Average Directional Index (ADX) is 29.57, indicating a strengthening trend that confirms the momentum of the breakout.
The Relative Strength Index (RSI) is 72, indicating that the market is slightly overbought, suggesting a potential consolidation or minor pullback before further upward movement.
The price of PEPE recently broke out of the symmetrical triangle, which is also seen as a bull flag breakout. The measurement of the flag's height sets the price target at around $0.0002760, which is ten times the current price.
What is the likelihood of Pepe soaring 1,000% in the short term?
Elon Musk recently mentioned Pepe in a tweet, which has increased brand awareness and may affect future price movements. In the past 24 hours, Musk has tweeted with Pepe images and interacted with tweets containing Pepe, leading investors to conclude that the price of PEPE may be about to rise. More tweets from Musk are expected to further enhance bullish sentiment.
In terms of market capitalization, this meme coin has a good trading volume among the top 20 cryptocurrencies and has recently launched on Coinbase and Robinhood, which also enhances its strength.
Additionally, Bitcoin's price has a significant impact on Pepe's performance, as they are highly correlated. A breakout of Bitcoin above $90,000, potentially reaching $100,000, is expected to trigger meme coins to set new all-time highs. Political events and regulatory changes in the U.S., such as Trump's influence and actions by the SEC supporting cryptocurrency, may significantly impact the cryptocurrency market and the price of Pepe.