The daily chart for PEPE shows a completed five-wave Elliott impulse, with a significant correction underway.
After reaching a Wave 5 peak of $0.0000284 on Dec. 9, the price entered a downtrend, leading to a low of $0.000014 on Dec. 20.
PEPEUSD consolidation after a sharp decline | Credit: Nikola Lazic/TradingView
During this decline, PEPE briefly tested the 0.618 Fibonacci retracement level but quickly rebounded above the 0.5 Fibonacci retracement level, forming a horizontal consolidation range. This range, now being tested, holds the key to PEPE’s next directional move.
Key support levels lie at $0.000017288 (0.5 Fibonacci retracement), which aligns with previous consolidation zones. Resistance is found at $0.000020 (0.382 Fibonacci level), which is now being tested. A breakout above or below the current range will define the next trend direction.
The Relative Strength Index (RSI) is trending upward, indicating bullish momentum following today’s 13% price rise.
PEPE Price Prediction
On the 1-hour chart, PEPE has broken out of an ascending triangle, suggesting the potential start of a new impulsive wave. The breakout has propelled the price toward $0.000019884 (0.5 Fibonacci extension), now being tested as resistance.
PEPEUSD horizontal resistance break seen | Credit: Nikola Lazic/TradingView
Wave 1 and 2 appear complete, with Wave iii in progress targeting $0.000022 (1.0 Fibonacci extension) and $0.000025454 (1.618 extension). Immediate support is at $0.000019292 (0.382 Fibonacci level) and $0.000017882 (previous low), with resistance at $0.000020472 (0.618 Fibonacci level).
If the breakout sustains, PEPE could rally toward $0.000027358 (2.0 Fibonacci extension) or higher. However, failure to hold above $0.000019292 could signal a retracement toward deeper support levels, invalidating the bullish setup.
RSI indicates bullish momentum with further upside potential.
Sustained movement above $0.000019884 is key for continued bullish momentum.
Disclaimer:
The information provided in this article is for informational purposes only. It is not intended to be, nor should it be construed as, financial advice. We do not make any warranties regarding the completeness, reliability, or accuracy of this information. All investments involve risk, and past performance does not guarantee future results. We recommend consulting a financial advisor before making any investment decisions.
Nikola Lazic is a cryptocurrency analyst and investor working in the industry since 2017. He holds a bachelor's degree in Sociology, which enables him to better understand the psychology behind the crowd´s positioning. Consequently his preferred analytical tool is Elliott Wave Theory in combination with price action analysis.
Combining his experience in trading and investing with knowledge in content writing he strives to bring the most accurate and actionable information.
