Memecoins
PEPE – Is the 10% price increase of memecoin the trigger for a further 80% increase?
- PEPE appreciates by almost 10% over 24 hours
- Contrary to rising prices, bearish sentiment around crypto has increased
The recent change in market trend has seen several cryptos turn their charts green. PEPE was one of them, with memecoin climbing to be among the market’s biggest gainers with double-digit gains. The price rise has caused memecoin to reach a critical level, which would likely lead to greater price appreciation.
The PEPE bulls are here
CoinMarketCap data revealed that as the market turned bullish, PEPE managed to drive up its price by almost 10%. At the time of writing, memecoin was trading at $0.000007627 with a market cap of over $3.2 billion, making it the 30th largest crypto in the rankings.
Thanks to the latest price hike, more than 75% of PEPE investors are now also making profits, according to IntoTheBlock. data.
When the bull rally began, the memecoin price reached a critical level. World of Charts, a popular crypto analyst, recently shared a Tweeter highlighting a bull flag pattern that has formed on the memory coin chart. According to him, a successful breakout of this trend would allow the memecoin to increase its price by 80% over the coming weeks.
Since PEPE had already started to recover, AMBCrypto checked its metrics to see if this uptrend would allow the memecoin to surpass the uptrend. AMBCrypto’s analysis of Santiment data found that buying pressure on the memecoin was high as its exchange outflows peaked on May 3.
Additionally, PEPE’s supply on exchanges has fallen sharply while its supply outside of exchanges has increased, once again proving that investors are buying the memecoin. Rather, whales sold their holdings as the supply of memecoin held by major addresses decreased.
Source: Santiment
In what direction is PEPE evolving?
When the price of memecoin increased, people started talking about it as the social volume of PEPE increased. However, surprisingly, despite the price rise, the weighted sentiment of the meme coin has fallen.
This clearly meant that bearish sentiment still retained some dominance in the market.
Source: Santiment
Read that of Pepe [PEPE] Price prediction 2024-25
Therefore, AMBCrypto checked the daily chart of PEPE to see what market indicators were suggesting regarding the latest memecoin rally.
We observed that after a strong rally, the altcoin’s Money Flow Index (MFI) deteriorated. A similar trend was also noted on the Chaikin Money Flow (CMF) chart. This indicates that the PEPE rally may not last long.
Nonetheless, the MACD remained in favor of buyers as it projected a bullish advantage in the market.
Source: TradingView