PEPE’s 4-hour chart has formed a bullish pattern, suggesting that the memecoin’s price may be poised to reach a new high. At the moment, the memecoin is trading at $0.000021, down 17% from its record high reached on November 14.
As a result, 1% of the token’s holders are in the loss zone, while 7% are at breakeven. This on-chain analysis reveals how PEPE’s price action could return all of these holders to profit.
Technical pattern indicates recovery
Analysis of the 4-hour chart shows that PEPE price has formed a bullish flag. This formation is a continuation pattern that indicates that an asset is likely to resume its uptrend after a brief consolidation.
In short, the pattern consists of the “flagpole,” which represents the period of rising price. Next comes the “flag,” indicating the consolidation phase, and the breakout, which occurs after the price rises above the resistance line.
As seen below, PEPE price is on the verge of breaking above the $0.000021 region. Once validated, this bullish flag formation could propel the memecoin above the all-time high of $0.000025.
Pepe 4-Hour Price Analysis. Source: TradingView
This prediction is also in line with the position of the Global In/Out of Money Indicator (GIOM). The GIOM indicator groups all wallet addresses into clusters based on the price ranges in which they previously acquired their holdings.
Thus, larger clusters indicate stronger support or resistance levels at these price points, as they represent areas where many investors are positioned. According to IntoTheBlock, only 3,940 addresses hold 2.76 trillion tokens, and around $0.000023 of them are out of the money.
Considering the weak resistance and strong support, the price of PEPE may increase. In short, the on-chain indicator suggests that the memecoin’s value may rise up to $0.000041.
Pepe Global/In Out of the Money. Fonte: IntoTheBlock
PEPE Price Prediction: First Target at $0.000032
On PEPE’s daily chart, the token appears to have followed a similar movement to its 250% surge around March. Back then, the frog memecoin broke out of a descending channel.
Between September 29 and the first week of November, PEPE traded inside a descending channel. Although it has since broken out, the image below shows that the memecoin’s value could rise even further.
Pepe Daily Analysis. Source: TradingView
If this happens, then the price could rise towards $0.000032, possibly reaching $0.000041. On the other hand, if selling pressure increases, this may not happen. Instead, PEPE could fall below $0.000015.
The article PEPE forms bullish pattern and can recover 100% of the drop appeared first on BeInCrypto Brasil.
