PEPE Price Rally: 60% Surge Possible?
Pepe coin (PEPE) has shown resilience, rising nearly 9% despite the recent Fed meeting. Currently trading at $0.00000837, PEPE’s price action suggests a potential rally towards $0.000010, fueled by increasing whale holdings. Could this momentum lead to a significant 60% rally to $0.00001465?
Pepe Price Surge and Technical Analysis
On May 7th, PEPE surged 5.28%, forming a bullish engulfing candle and completing a morning star pattern—a strong indication of a potential trend reversal. This follows a seven-day bearish trend, suggesting a shift in market sentiment. The price has already surpassed the 23.60% Fibonacci level at $0.00000823 and is approaching the $0.0000090 resistance.
Furthermore, the price action appears to be forming a cup and handle pattern. A decisive daily close above the $0.0000090 neckline would confirm this pattern's breakout, potentially propelling PEPE towards the $0.00001465 target (61.80% Fib level). This target is calculated by adding the depth of the cup to the breakout point.
Technical indicators support this bullish outlook. The Supertrend Indicator signals sustained bullish momentum, and the MACD and Signal lines are hinting at a bullish crossover. However, failure to break the neckline could result in a pullback to $0.0000075.
Whale Accumulation and Market Sentiment
IntotheBlock data reveals a significant increase in whale holdings (10T to 100T PEPE). Holdings rose 20% from 119.83 trillion PEPE on January 1st to 144.56 trillion PEPE on May 7th. This substantial increase in whale accumulation reflects strong confidence and increases the likelihood of a bullish run.
Coinglass data shows $396 million in PEPE open interest, with long positions reaching 52.78% in the last four hours. The rising long/short ratio (1.1177) indicates growing optimism. While there is a $1.64 million long liquidation risk at $0.00000832, a continued uptrend could trigger $1.12 million in short liquidations at $0.00000843.
A sustained uptrend, potentially triggered by short liquidations, could further fuel the rally and increase the chances of a breakout above $0.000010, ultimately leading to the projected $0.00001465 target.
Disclaimer:
This analysis is for informational purposes only and should not be considered financial advice. Conduct thorough research before investing in cryptocurrencies. Codeum is not responsible for any personal financial losses.