PEPE Price Drops as Whales Support Eases — Does it Have Potential to Rebound?
As the price experienced a large drop, there are some indications of a starting upturn.
, Key Takeaways
- PEPE price down by 40% from its August high.
- Currently traded at critical support.
- If holding continues, a bounce may arrive.
On August 25 the price of PEPE dropped by over 20% due to worries about recent changes in the token’s management and large transfers. At the same time, $16 million of PPEPE tokens were moved from the developer’s storage to various online exchanges.
As PEPE’s price fell, big investors bought in, expecting a rebound. IntoTheBlock data shows a surge in large buys, suggesting these players could drive a price recovery.
Total money in these trades jumped from $10.67M to $100M. This eased the drop and caused sideways movement. Will we see a recovery?
PEPE Price Analysis
From July 3, the price of PEPE has been in a downtrend. We have seen some increases in between but overall the structure still made lower highs and lower lows.
There was a possibility that the August 7-14 35% rise would have been a starting uptrend but, with the price moving again towards its August 7 starting point, this was invalidated.
On August 25, it reached a critical support level at $0.00000081, also tested in mid-June, which brought to a bounce first established in May, before a final runup.
From its all-time high, the price has been in a three-wave WXY correction, with an Y wave starting on July 3. With the price now reaching its key support, we might see an upturn as the correction completes.
On the other hand, if it will break its support level, it could bring it to a further price freefall, as it appears that no support is present until 60% to the downside at $0.00000033.
Hourly chart analysis suggests a high probability of the downtrend ending. However, confirmation of an uptrend requires a higher high and a higher low.
A bounce from current levels and a breakout above the descending trendline at $0.0000010 would be a bullish signal. The price must hold above $0.00000085 at least, but ideally above $0.0000090.
Where the price could go to the upside we are going to discuss if/when the uptrend starts. For now, we have to confirm if the uptrend is even going to start.
Disclaimer
Please note that the contents of this article are not financial or investing advice. The information provided in this article is the author’s opinion only and should not be considered as offering trading or investing recommendations. We do not make any warranties about the completeness, reliability and accuracy of this information. The cryptocurrency market suffers from high volatility and occasional arbitrary movements. Any investor, trader, or regular crypto users should research multiple viewpoints and be familiar with all local regulations before committing to an investment.
