PEPE is approaching a pivotal moment as it tests the $0.00001152 level, a critical junction that could shape its next direction. A breakout above this key resistance may spark renewed bullish momentum, driving the price higher. However, failure to surpass this level could lead to a rejection, potentially pushing the meme coin into a retracement phase.
As traders focus on this pivotal resistance, this analysis will explore the likelihood of a breakout versus a potential rejection by analyzing PEPE’s current price action as it approaches the critical $0.00001152 resistance level. Key technical indicators, market sentiment, and trading volume will be examined to provide a clearer outlook on its next move.
PEPE Current Price Action
Currently, despite trading above the 100-day Simple Moving Average (SMA), PEPE’s price on the 4-hour chart is showing signs of a potential rejection. After reaching the key resistance level of $0.00001152, the price has begun to decline, signaling that positive movement may be weakening and a deeper retracement may occur if the meme coin fails to regain upward momentum soon.
Also, the Relative Strength Index (RSI) has dropped to 82% after peaking at 88%, indicating a cooling off in buying pressure. Although the RSI remains in overbought territory, this decline suggests that bullish momentum may be fading. Such a drop typically signals that the asset could be entering a consolidation phase or experiencing a potential price retracement, especially if the asset struggles to break through key resistance levels.
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On the daily chart, the crypto asset has shown strong upward movement with multiple bullish candlesticks forming after breaking above the 100-day SMA. However, the current candlestick reveals a rejection wick, signaling mounting selling pressure. If this rejection persists, it may indicate weakening bullish strength, potentially leading to consolidation or a deeper retracement as traders take profits.
Finally, on the 1-day chart, the RSI has risen above 50% and is now at 75%, reflecting strong optimistic sentiment and dominant buying pressure. While this suggests continued price increases, the proximity to overbought territory raises the possibility of a pullback if buying weakens. A further rise could strengthen the uptrend, but a decline may indicate an upcoming correction or consolidation.
Market Sentiment Divided: What’s Next For The Meme Coin?
PEPE’s recent price action has left the market divided, with traders speculating between optimism for a breakout and caution about a potential rejection. Should the meme coin face a rejection, it may start to retrace towards the $0.00000766 level and potentially lower support levels.
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However, A successful breakout above the $0.00001152 resistance level could indicate heightened buying momentum, possibly setting the stage for further gains and targeting higher resistance levels, such as $0.00001731 and beyond.
Featured image from iStock, chart from Tradingview.com