After a week of decline, the memecoin PEPE seems to be back on track, with analysts predicting a potential 30% upswing in the coming days. This bullish outlook comes after PEPE broke above a key technical pattern, signaling a potential continuation of the uptrend.
PEPE’s price went on a rollercoaster last week, initially dropping over 2% before recovering with a 3% surge in the last 24 hours. Currently trading at $0.00001216, the memecoin boasts a market cap exceeding $5.8 billion, solidifying its position as the 22nd largest cryptocurrency.
According to IntoTheBlock data, over 83% of PEPE investors are currently in profit, reflecting a positive sentiment. More importantly, PEPE’s recent price action hints at a bullish breakout.
Popular crypto analyst World of Charts identified a bullish pennant pattern on PEPE’s chart, suggesting a potential 30% price rally.
This pattern, formed in July, indicates a consolidation period followed by a potential upward surge. If the analysis holds true, PEPE could reach $0.000017 in the coming weeks.
Looking beyond the chart patterns, on-chain metrics from Santiment paint a promising picture. The data reveals a decrease in PEPE’s supply on exchanges, coupled with an increase in holdings outside exchanges. This trend suggests rising buying pressure for the memecoin. Additionally, a spike in exchange outflow further strengthens the case for increased investor interest.
However, whale activity, reflected by the supply held by top addresses, remained flat last week, indicating a wait-and-see approach from major investors.
While buying pressure and a high MVRV ratio are positive signs, a potential bearish crossover on the MACD indicator and a downtick in the RSI suggest a chance of a price correction. However, a rising MFI hints at a potential continuation of the bull run.
Overall, PEPE‘s technical and on-chain indicators present a mixed picture. While a 30% upswing is a possibility, the potential for a price correction remains. Investors are advised to conduct their own research and consider these factors before making any investment decisions.