- PEPE was rejected at the resistance at $0.00000920, causing a 9.17% drop in 48 hours.
- Indicators and settlement data suggested continued weakness.
Recent price fluctuations in popular meme coin PEPE suggest that it may fall further in the future.
PEPE picked up bullish momentum and surged 17.80% over the past three days before facing rejection at the critical resistance level of $0.0000092.
At the time of writing, PEPE has plummeted by around 9.17% over the past 48 hours. AMBCrypto has taken a closer look at the latest developments and analyzed how they could affect PEPE’s short-term outlook.
Resistance proves too strong
PEPE has been on an uptrend in the past few days as buyers pushed the price higher, but the token hit a wall at the $0.00000920 resistance level.
This key price point proved to be very difficult to beat and resulted in its rejection.
After the failed breakout attempt, PEPE’s price plummeted. Over the past 48 hours, the token’s value has fallen by 9.17%. This sharp drop has wiped out the recent gains and put it back on a bearish trajectory.
Source: TradingView
PEPE’s rejection at a key resistance level and the subsequent price drop correlated closely with bearish on-chain signals observed by AMBCrypto via IntoTheBlock, with most signals painting a bearish picture.
It is noteworthy that while the net network growth is showing a bearish trend of 1.08%, the number of “in the money” investors is showing a bearish sign at -0.50%.
Concentration levels were also slightly bearish at -0.07%, while large volume trades showed a bearish signal of 0.57%.
This correlation of negative signals across multiple indicators suggests that it may continue to face downward pressure in the near future.
Source: IntoTheBlock
PEPE liquidation activity picks up
As the price of PEPE fell, liquidations on derivatives exchanges surged.
AMBCrypto’s analysis of Coinglass liquidation heatmap data showed that a large number of forced closures of leveraged long positions have occurred in the past 24 hours.
This series of liquidations may have contributed to PEPE’s further decline. It also shows that many investors were overly optimistic and took too much risk.
If the price continues to fall, more sell signals are likely.
Source: Coinglass
Emotions are cold
PEPE’s price decline coincided with cooling sentiment among holders. In particular, Santiment’s active address data shows a sharp drop in network activity in recent weeks.
As interest and engagement fades, it may be difficult for PEPE to recover in the near term. Barring fresh buying pressure, the path of least resistance appears to be downwards.
Source: Santiment
What’s next for PEPE?
Given the converging bearish signals, it seems likely that PEPE will see further declines in the coming days, with the next key support level to watch being $0.00000720.
Pepe’s [PEPE] Price Forecast 2024-25
If this support fails to hold, PEPE could drop back to the recent lows near $0.00000650.
To have a chance at a bullish reversal, PEPE will need to reclaim the recently rejected $0.00000920 resistance level.
