PEPE has seen a 32.6% drop, but the metrics indicate a possible bullish rally.
- PEPE retraced after hitting a $0.00001724 high. PEPE was rejected at a key trendline support level, and a price reversal was on the cards.
Pepe [PEPE] has recently experienced a significant 32.6% drop in price and retraced to $.00001131 after hitting its all high of $0.00001724.
PEPE has pulled back to a confluence point at the $0.00001131 support level. This is also an ascending trendline support that has been retested several times in the past two months.
This retracement presents a potential buying opportunity for traders looking to capitalize on the dip and position themselves for the next surge.
As of this writing, PEPE was valued at $$0.00001264 on CoinMarketCap, up 3.17 % in the last 24 hours and down 16.74% in the last 7 days.
The market capitalization stood at $5.3 billion, up 3.17% in the last 24 hours, while the market volume has decreased by 35.8 % in the last 24 hours to $860 million.
Source: TradingView
PEPE: Increased user activity
AMBCrypto then analyzed the Santiment’s Active addresses and circulation data.
We found that PEPE had seen a surge in daily active addresses and transaction volumes over the past few weeks, suggesting a likely bullish rally.
The number of active addresses indicated several spikes, with multiple peaks surpassing 200,000 active addresses in a 24-hour period.
Source: Santiment
AMBCrypto further analyzed Santiment’s ratio of daily on-chain transaction volume in profit to loss. The data was skewed heavily towards profit, suggesting increased user activity and potential accumulation.
Source: Santiment
Moreover, the daily PEPE/USD chart revealed that the recent pullback has found support along an ascending trendline. So, the uptrend may soon resume.
The Stochastic RSI was oversold at press time — potentially signaling a price reversal. Also, the MACD histogram has crossed above the signal line, indicating a potential bullish crossover.
Is it worth diving into the dip?
PEPE’s current dip presents a potential buying opportunity. The surge in active addresses and transaction volumes provided a major bullish signal.
The strong support found along the ascending trendline and oversold conditions on the Stochastic RSI affirmed the bullish signal. It suggested that more investors were considering buying the dip.
However, If this fails to hold, the memecoin may see further dips in its price.
Take a Survey: Chance to Win $500 USDT
Next: Ethereum reserves hit 8-year low: Is a price explosion close?
Source
