I believe that anyone with a technical foundation can see yesterday's pullback. The rising entity gradually became smaller and the volume gradually shrunk, indicating that there was short-term pressure.

The current market has completely formed a differentiated trend. Although the market corrections in March and April were synchronized, the meanings of this round of corrections are different for different currencies.

Some coins are still in the early stages of a bull market on a weekly basis. After experiencing this round of daily correction, they are oscillating and accumulating strength at the bottom, and will start a new round of increases.

However, the prices of some currencies have already peaked, and the correction in March and April was part of the peak-building trend. Therefore, even if the decline stops in the short term, the subsequent increase will be limited.

Recently I saw a coin that is very popular. Many people are attracted by its get-rich-quick effect. It is "PEPE" in the Memecoin series.

The currencies in the meme series include Dogecoin and Shiba Inucoin from the last bull market. They are consensus hype, but have no practical applications to support them. They are commonly known as copycat coins.

But no matter whether it is mainstream currency, sub-mainstream currency (supported by actual application value), or copycat currency (pure speculation for consensus and get-rich-quick effect), you need to identify the market and buy at the relative bottom to minimize the risk, and identify the top to get out safely.

Compared with the other two, altcoins have greater requirements for technical identification of the market, because altcoins are often temporary hot spots. If the market has reached its peak but you don’t know it, the risk is quite high, because it is normal for altcoins to rise and fall sharply.

Today we will take a look at whether PEPE is a risk or an opportunity after experiencing a correction in March and April?

After pepe experienced a long correction, the short volume gradually shrank and it could not fall any further. Then the decline slowed down until it broke through the neckline on October 23, 2023, starting an upward trend.

Although the market fell again after the large-volume breakthrough, it could not change the formation of the upward trend. The pullback was only for a better rise.

This is the same as what I shared with you in my previous article. A look at the overall situation can determine the bull or bear market. There will be many twists and turns in the bull market, but after we judge the trend, no matter how the market falls back, it is only temporary, and the purpose is to trick people off the market.

Therefore, it is very important to identify the bull and bear trends and determine what stage the market is currently in.

Then on February 5, 2024, the market pulled back to the neckline and a stop-loss signal appeared, which started a new round of rise. The volume gradually increased and broke through the historical high. The bulls looked very strong.

However, the positive line closed on March 4, 2024 began to show some strangeness, because although it was still rising in volume and broke the previous high again, the amplitude of breaking the previous high was very small, and the positive line entity was much smaller than the previous one.

So although it seems to be rising, it actually means that the bulls have encountered resistance. Then everyone has seen that the market has ushered in a round of correction.

Although there has been another rise in the past three weeks, we need to take a closer look at the volume. Compared with before, the volume has shrunk, indicating that the strength of the bulls has slowed down compared with before.

Judging from the weekly chart, the conclusion that can be drawn at present is that the bulls have begun to lose strength, but there are no reversal signals yet, so we need to continue to observe.

Looking at the daily chart again, we can see that the volume of the rise has been shrinking, while the volume of the decline has been increasing.

At such a position, there are large fluctuations, ups and downs, the decline is slowly increasing in volume, and the rise is shrinking in volume. For those who are bullish, this is not a good sign.

Through the analysis of weekly and daily lines, we conclude that the risk of pepe is already far greater than the reward. If a reversal signal appears again on the weekly line, it will be the best time to avoid risks.

For currencies like these, everyone must pay attention to risks. There will be opportunities in the short-term popularity, but you must escape the top in time through the market. Otherwise, like ORDI, which was very popular some time ago, no matter how well it rises, those who bought it at 60-70-80 US dollars will now have their prices cut in half.

Therefore, we must not listen to others who say how good a certain coin is and that it has increased so much and you should buy it quickly. You must remain calm at this time.

With so many coins in the exchange, there is really no shortage of opportunities, but we must be able to understand the market so that opportunities belong to us. We must identify the relative bottom to buy and the relative top to sell in order to avoid risks.

I am Qiqi. If you want to seize this bull market with me, click on my avatar to find me. I have a group of like-minded partners. I will buy the bottom of the cottage every day, high-quality currencies, market trends, the latest information, etc.#PEPE潜力 #memecoin⁠⁠⁠⁠ $PEPE