- Pepe (PEPE) price has increased by over 3.24% in the 24 hours, helping its value to soar above $0.000003418
- Despite the upward momentum of the memecoin, technical indicators are showing bearish signals
- Pepe is expected to face a major resistance level at around $0.0000034, while $0.0000030 would work as a strong support in the downward trend
On March 31, Pepe (PEPE) memecoin soared by over 3% on a daily chart after gaining bullish momentum along with the overall crypto market.
At the time of writing this, PEPE memecoin is trading at around $0.000003418 with a spike of 3.24% in the last 24 hours, according to CoinMarketCap.
Pepe Trapped in Consolidation Zone on Daily Chart
Pepe is currently trading within a multi-month compression pattern around its lows.
According to the technical analysis, over a long period of time, Pepe has been creating a tightening range. This is a pattern linked to reducing pressure that decides a directional breakout. Its price is currently going against long-term support while getting weak near the line of a “terminal triangle formation”. This is the structure, which shows reducing selling pressure rather than another downward momentum.
On the chart, the major support area revolves around $0.0000032 to $0.0000035. This level is showing the floor of the triangle formation. Many times, this support has worked as the base for the current price reaction. If buyers manage to defend this zone, it would trigger the case of seller exhaustion.
The major resistance level is revolving around the $0.0000070 to $0.0000072 range. If Pepe coin soars above this level, then it would trigger a confirmed upward momentum.
The primary rebound target is a retest of the macro descending resistance at the level that would show a major recovery from the current base. This will also open a door for further upward momentum in the cryptocurrency.
Despite the momentum in the Pepe price, major technical indicators are showing a bearish to neutral future with a strong sell signal on a daily chart. The reason behind this is the current uncertainty in the financial world and the global energy crisis due to the war in the Middle East between the U.S. and Iran. Recently, the Bitcoin (BTC) price witnessed a major dip below $66,000 after staying locked in a consolidation zone for over a month.
Apart from this, moving averages from 5-day to 200-day are giving sell signals, which means the cryptocurrency might see a downward trend.
The RSI is revolving around 47, which is neutral, neither oversold nor in overbought territory. The MACD is neutral or slightly bearish. It shows no strong momentum in either direction.
PEPE is stuck in a tight range on the daily chart. It keeps getting rejected around the $0.0000034 to $0.0000035 resistance area. On the other hand, there is immediate support at around $0.0000032 to $0.00000328. If it drops below this level, the next stop could be around $0.0000030.
The crypto market is currently stuck in a consolidation zone, where cryptocurrencies like Bitcoin are struggling to soar above a certain resistance level and repeatedly fail to sustain a rally. This pattern was also seen in memecoins like Dogecoin, Shiba Inu, and Pepe. Apart from this, new trends like privacy coins are attracting investors, which come with a real utility.
Also Read: Zcash (ZEC) Price Soars 10% as Privacy Narrative Heats Up
Source: https://www.cryptonewsz.com/pepe-price-soar-3-24-possible-correction/
