Pepe Coin price continues its strong downtrend this week, accelerating a trend that started on July 22 when it peaked at $0.00001465. This pullback has coincided with that of Bitcoin and other altcoins.
However, the positive funding rate, robust whale activity, and exchange outflows point to a potential Pepe price rebound in August.
Pepe Coin Price Technical Chart Hints to a Rebound
The daily timeframe chart shows that the Pepe Coin price has fallen in the last five consecutive days, its longest losing streak in months. This crash has pushed it below the 200-day Exponential Moving Average (EMA).
At the same time, the Relative Strength Index (RSI) has moved from the overbought level of 70 on July 22 to the current 37. This is a sign that it intends to move downwards and retest the oversold level.
Pepe will get to the oversold level possibly when it drops and retests the ascending trendline that links the lowest swings since March 11 last year. It has always bounced back whenever it drops to that trendline.
For example, it rallied by 71% when it dropped to that trendline in June last year. Before that, it jumped by 166% after retesting the trendline in April of this year.
Therefore, it is likely that the Pepe price will drop to the ascending trendline and then bounce back. The initial target will be the July high of $0.00001465, up by 37% above the current level. A move above that price will point to more upside to the year-to-date high of $0.000016, which is up by 56% from today’s level.
On the flip side, a drop below the trendline will invalidate the bullish PEPE price forecast 2025. Such a move will point to further downside to the year-to-date low of $0.0000053, down by 50% from the current level.
Pepe Price Has Bullish Tailwinds
Pepe token has several tailwinds that may boost its price in the coming days. First, third-party data shows that whales and smart money investors are buying the dip, which is a bullish sign.
Whales holdings have jumped by 10% in the last 30 days to 8.63 trillion in the last 30 days. As the chart below shows, there has been divergence between the whale accumulation and its price.
Another data shows that Pepe’s funding rate in the futures market has remained in the green since July 29. This figure implies that traders in the futures market are optimistic that the price will be higher in the future than where it is today.
Further, investors have continued pulling Pepe tokens from exchanges. As a result, exchange outflows have increased since June 23rd. Exchange outflows mean that investors continue to hold tokens in their wallets.
Summary
Pepe Coin price has been in a strong downward trend in the past few days. This decline is primarily due to the ongoing crypto market crash. Still, its technicals and fundamentals signal that the coin will rebound in the coming weeks or days.
Frequently Asked Questions (FAQs)
The Pepe Coin token as crashed in the past few days because of the ongoing crypto market crash.
There are chances that the token will rebound as exchange outflows jump and whale accumulation rise.
The most likely scenario is where the token drops to the ascending trendline and then jump by 166% to the year-to-date high.
crispus
Crispus is a seasoned Financial Analyst at CoinGape with over 12 years of experience. He focuses on Bitcoin and other altcoins, covering the intersection of news and analysis. His insights have been featured on renowned platforms such as BanklessTimes, CoinJournal, HypeIndex, SeekingAlpha, Forbes, InvestingCube, Investing.com, and MoneyTransfers.com.
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
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