PEPE, the popular memecoin, has made headlines as it formed an inverse head and shoulders pattern, a well-known bullish reversal structure that suggests a potential price surge. The pattern, characterized by a left and right shoulder forming higher lows and the head marking the lowest point, signals increasing buying momentum. The price action seems to have broken through the $0.00001 neckline, confirming the bullish strength.
If the momentum continues, PEPE could be targeting the $0.000012 resistance level, representing a potential price increase of 23%. However, the memecoin is now facing a critical test at this level, which has historically acted as a resistance point where previous selling pressure emerged. A successful breakout above $0.000012 could open the door for further gains.
On the downside, PEPE’s support zone is at $0.000008, which has previously acted as a strong buying region. In case of a pullback, the $0.0000095 level could serve as an intermediate support level before the price tests lower points. Traders are closely watching whether PEPE will maintain its breakout or face short-term corrections before another upward movement.
Whale Activity and Market Trends
Recent data from IntoTheBlock reveals fluctuating activity from large PEPE holders. While the 7-day whale accumulation trend dropped by 45.77%, indicating reduced buying pressure from major investors, the 30-day accumulation increased by 103.64%, hinting at strong buying activity in the past month. However, the 90-day trend showed a significant decline of 155.09%, signaling long-term offloading by large holders. Whether PEPE’s price continues to rise or faces resistance may depend on the actions of these whales.
Declining Network Activity Raises Concerns
Another concern for PEPE’s future price action is the declining network activity. The 7-day New Addresses metric dropped by 31.72%, while Active Addresses fell by 50.72%. Additionally, the Zero Balance Addresses metric dropped by 63.73%, indicating low wallet movement and reduced selling pressure. As memecoin speculation grows, investors are left wondering if PEPE’s breakout will lead to a new rally or face resistance at higher levels. For now, it’s a waiting game for PEPE holders.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
Also Read: Pepe Coin Price Crash: Indicators Signal Potential 122% Rebound as Whale Accumulation Rises
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