Aggressive bearish momentum keeps the Pepe Coin price wavering at $0.00000082 support; can it rebound higher?
In a span of six weeks, the Pepe Coin price has experienced aggressive correction which eroded the gains amassed during the vibrant June-July rally. This correction, which commenced from its peak of $0.00000188, has led to a substantial 57.6% drop in price, eventually reaching a low of $0.00000082 in June. While the presence of the channel pattern’s support trendline gives an additional boost to buyers, the overhead supply evident in the daily chart reflects the risk of prolonged downfall persists.
Pepe Coin Daily Chart: Key Points
- Rising overhead supply hints that the PEPE price needs more time to rebound from $0.00000082
- A potential bounce from the lower trendline could push the PEPE price back above $0.000001
- The 24-hour trading volume in the Pepe coin is $186.9 Million, indicating a 41.7% gain.
Source- Tradingview
The daily time frame chart shows the ongoing correction PEPE price has into shaped a falling channel pattern. The parallel walking trendline is guiding the falling price, leading the current downtrend will persist until this chart pattern is intact.
With the recent selling in the crypto market, the frog-themed memecoin plunged to the lower trendline of the chart pattern and is currently trading at $0.00000089. Under normal circumstances, this support level should act as a springboard for an upward movement, potentially propelling the coin toward the upper trendline.
Thus, earlier today, the PEPE price of 7.5% intraday gain was an attempt for a bullish recovery. However, by the time of writing these gains were vaporized by the overhead supply, indicating the buyers were not ready for a bounce back.
Can Pepe Coins Fall Below the $0.0000007 Level?
Thus, if the bearish momentum persists, the sellers may rechallenge the $0.00000082 low and bottom support trendline. A possible breakdown below the last swing low will signal the continuation of a downward trend and may push to $0.0000007.
Anyhow, to gain a more reliable confirmation of a potential trend reversal, buyers should wait for an upside breakout from the upper trendline which could recuperate bullish momentum for a potential rally.
- Average Directional Index: A significant upswing in the ADX slope at 31% reflects the seller’s strength to prolong the downward trend.
- Exponential Moving Average: The 100-day EMA may act as dynamic resistance in the current downtrend.
