Pepe has experienced extreme volatility over the past 30 days. Can the memecoin reclaim its 3-month high?
- PEPE has risen slightly, by 2.21% in 24 hours. Market fundamentals suggest that the recent pullback is a mere correction before another uptrend.
Over the past week, Pepe [PEPE] has experienced a sharp decline, dipping by 3.47%. Prior to this, PEPE had been on an upward trajectory, surging by 37.43% on monthly charts.
Since hitting $0.0000119, PEPE has struggled to maintain an upward momentum. On weekly charts, the memecoin has been trading sideways, signaling a breakout.
In fact, as of this writing, PEPE was trading at $0.000009705. This marked a 2.21% increase over the past day. Also, the memecoin’s market cap has increased by 1.90% to $4.09 billion over the same period.
As such, the current price movements and overall gains conveyed optimism for the memecoin. Thus, the decline on weekly charts could be a pullback before attempting another uptrend.
What PEPE’s charts say
According to AMBCrypto’s analysis, PEPE is retesting a key resistance at $0.00001. As such, the memecoin faced multiple rejections at this level, and the current market condition could set the memecoin for a price surge.
Source: Santiment
For starters, PEPE’s adjusted DAA divergence has remained positive throughout the past week. This signals that the demand is rising, and the market is well positioned to reverse a downtrend.
A reversal to the upside is imminent, as the memecoin is undervalued and the prices have yet to catch up with the strengthening fundamentals.
Source: Santiment
Additionally, the Funding Rates Aggregated by Exchange has turned positive at 0.006% as of this writing, after dropping to negative levels the previous day.
Since the Funding Rate has been largely positive throughout the last week, it shows longs are in high demand compared to shorts.
Source: Coinglass
This phenomenon is further observed with OI Weighted Funding Rate. This suggests an overall shift in market sentiment, as investors regain confidence with memecoin’s prospects.
Source: Coinglass
Finally, Coinglass’ data showed that Open Interest had increased by 2.88% to $140.15 million over the past 24 hours at press time. Thus, investors were opening new positions while anticipating further gains.
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