NAIROBI (CoinChapter.com)— Pepe Coin (PEPE) has posted a massive gain over the past year, but recent price moves are less encouraging. While it’s up 15.63% overall this month, Pepe Coin has dropped 13.54% in the past week, and another 5.24% in just 24 hours. With trading volume also down by 30.02%, investors are asking: is it time to buy or stay on the sidelines?
Technical Indicators Suggest a Wait-and-See Approach
Pepe coin (PEPE) is displaying concerning signs in its technical analysis. The ‘death cross,’ where the 200-day Simple Moving Average (SMA) crosses above the 50-day SMA, points to a long-term downtrend. Additionally, Pepe Coin falling below the critical 200-day SMA further underscores the likelihood of continued struggles in regaining upward momentum.
PEPE/USD 1-day chart shows bearish signals. Credit: TradingView
Pepe Coin’s recent breach of the 200 day SMA support also further add fuel to the bearish outlook. However, the token is still slightly above the 50 day SMA but without strong buying pressure, it looks weak to reverse current downward trend.
The MACD is close to crossing below the signal line, signaling increased selling pressure. Fading histogram bars show weakening bullish momentum, casting doubt on PEPE’s ability to hold its position. The RSI, at 49.47, remains neutral but could suggest a reversal if it moves toward the oversold zone.
PEPE OI-Weighted Funding Rate. Source: Coinglass
Adding to the bearish outlook Open Interest (OI) dropped by 9.64%, now at $110.84 million, while the funding rate stands at -0.0168%.
Pepe Coin: What’s Next? Analysts Disagree
Pepe Coin is at a crossroads, facing varied expert opinions. Pseudo analyst R2cky points out a bullish setup, predicting a 25% rise in PEPE’s price due to a favorable chart pattern. This optimism contrasts with SolomTrades, who cautions against potential downturns, citing recent underperformance and the possibility of further declines.
PEPE/USD 1- week chart. Source: Dami-Defi/X
Dami-Defi offers a more hopeful outlook, noting that PEPE is forming a symmetrical triangle, which could signal an upcoming breakout. He believes the price could soon hit $0.000018, with a mid-term goal of reaching $0.000039.
PEPE/USD 1-day price chart. Source: Monica/X
Monica_ETH8 notes that PEPE is in a correction phase after a 51-day consolidation. The token’s direction depends on holding key support levels. On the 1D chart, RSI at 51.13 shows a balance between buyers and sellers, while the MACD reflects a weak bullish trend. This indicates the market is still consolidating, with no major movements likely.
The decision to invest in Pepe Coin at this juncture remains complex, influenced by market volatility, mixed analyst views, and neutral technical indicators.
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