What do on-chain data show for #PEPE , which has retreated to a critical level with Bitcoin hardening?
PEPE price fell by 8 percent a few days after reaching an all-time high on December 9. The RSI, which measures momentum, is at 33..3, indicating that the popular memecoin is approaching oversold. However, the RSI signals that selling pressure may continue due to the drop at 30.
In addition, the 7-day MVRV rate in $PEPE is -9.3 percent, indicating that its short-term amount has experienced large losses. According to historical indications, an upward movement usually does not start before this rate changes by -12 percent to -15 percent.
Could PEPE experience further declines?
The RSI (Relative Strength Index) measures the price change and magnitude of an asset, evaluating whether the asset is overbought or oversold. RSI above 70 usually indicates overbought and a possible pullback, while values below 30 indicate oversold and a potential decline. PEPE's RSI level of 33.3 indicates that the price may continue to be pressured downwards.
In addition, the loss of strength in the memecoin trend is increasingly increasing the danger signals. There were large money inflows into memecoins in October and November. Especially the memecoin listings of popular exchanges carried the trends to the highest levels. However, the emergence of new trends and the increase in BTC dominance dealt a blow to memecoins.
