With a declining trend in the daily chart, the PEPE meme coin has dropped 56% from its 52-week high of $0.00001722. Currently, the PEPE coin is trading at $0.000007546, giving rise to a solid resistance trendline.
The lower high formation and the increased bullish influence warns of a death cross between the 50-day and 200-day EMA. Over the past few weeks, the meme coin has found support over a crucial level of $0.0000070.
Source: Trading View
Taking support for the third time at this demand level, the PEPE price jumped 6.74% to make a bullish engulfing candle on Monday. Today, the meme coin is 1.11% down from its 24-hour high of $0.000007757.
With a piercing bearish candle, the intraday setup reveals a surge in bearish momentum. With a potential head-and-shoulder pattern forming in the daily chart, the neckline stands at the same demand level of $0.0000070. Further, the MACD indicator shows the MACD and signal line on the words of a bearish crossover.
A breakdown of the head-and-shoulder pattern will result in a death cross between the crucial EMAs and a high-momentum sell-off wave. The crucial support levels for the meme coin are at $0.000006595 and $0.000004898, a 35% downside risk.
56% PEPE Volume Is “In The Money”
Based on the data from Intotheblock, 56.32% of all the PEPE ever bought, worth $1.79B, are making profits.
However, the same data shows 31.65% of the volume being “out of the money” and 12% trapped in the “at the money” zone.
PEPE Optimistic Viewpoints
In a recent tweet, CryptoJACK gives a similar price analysis with an addition of a support trendline to complete a falling channel. As PEPE takes support at the demand zone, Crypto Jack predicts a bullish cycle within the pattern with increased breakout chances.
The PEPE price could find resistances at $0.000008772 and $0.000010 mark on the bullish side.
Read more: PEPE Price Prediction
