Elon Musk's "Kekius Maximus" Rebranding and Pepe Avatar Raises PEPE by 12%
PEPE saw a 12% price increase following Elon Musk’s move on the X platform. Musk changed his username to “Kekius Maximus,” used the avatar of the popular “Pepe the Frog” character, and referenced the online game Path of Exile. However, the excitement soon faded and PEPE began to lose some of its recent gains.
Short-Term Increase in PEPE: The Rise Declined Rapidly
On Tuesday, Elon Musk X changed his profile to the nickname "Kekius Maximus" and changed his profile picture to the "Pepe the Frog" meme. He redesigned Pepe as a warrior wearing armor and holding a joystick, presenting a more modern version of the character. The move created a brief wave of optimism around PEPE, sending it up 12% during the trading period. However, the increase did not last long, and PEPE lost 4% in value afterward.
Increase in Trading Volume Indicates Selling Pressure
PEPE’s trading volume increased by 31%, which could be an indication of increasing selling pressure in the market. The increase in trading volume while the price is falling indicates that investors are starting to exit their positions and demand is decreasing. This suggests that PEPE’s price increase is driven by market speculation and not based on actual demand. Furthermore, the increase in PEPE’s spot outflows reinforces this downtrend. According to Coinglass, $6.34 million has been withdrawn from the spot market in the last 24 hours. This is in contrast to the $45 million inflow recorded for PEPE on Tuesday.
Super Trend Indicator and PEPE’s Resistance
PEPE’s price is trading above the Super Trend Indicator, confirming that demand is decreasing. The Super Trend Indicator tracks the price movements of an asset and shows the direction of the trend. If an asset price falls below this indicator, it means that a downtrend has begun. This resistance level for PEPE is around $0.000024. If the price manages to break through this resistance, it could recapture the all-time high of $0.000028. However, if the price fails to break through this level, the decline could continue and PEPE’s value could drop to $0.0000017.