Is Pepe Coin Ready for a 40% Climb to ATH? Reversal Pattern Offers Insights

Highlights
- A sustained multi-month support trendline for PEPE suggests that the coin's overall trend remains bullish.
- 77% of PEPE coin addresses being in profit suggests a broader bullish trend and a reduced likelihood of panic selling.
- A bullish alignment among the daily EMAs (20, 50, 100, and 200) underscores that buyers continue to lead market dynamics
The crypto market started the new week on a bearish note after Bitcoin suddenly dropped to $66700 on Monday. The BTC price witnessed intense supply pressure of $70000, which has stalled the recovery trend in the altcoin market since last week. Amid the sell-off, the Pepe coin records an intraday loss of 1% to hit $0.0000116, prolonging its breakout from the inverted head and shoulder pattern.
Also Read: Breaking: US Government Transfers 29,800 Bitcoin From Silk Road
77% of PEPE Coin Holders in Profit: Is a Major Price Breakout Imminent?
Despite the broader market recovery, the Frog-themed meme coin PEPE has showcased a sluggish trend over the past two weeks. The price, forming alternate green and red candles in the daily chart, shows no clear initiation from buyers or sellers to drive the asset.
The daily RSI slope wavering at 50% accentuates a neutral sentiment among market participants.
However, a deeper technical chart analysis shows this consolidation as an accumulation trend before an inverted head-and-shoulder breakout. The bullish reversal pattern is commonly spotted at the market bottom and projects a clear change in market sentiment with a new high-low formation.
The PEPE coin price currently trades at $0.0000116, with a market cap of $4.88 Billion. A potential breakout from the neckline resistance will signal a significant reversal and provide buyers with suitable support for a further rally.
According to the chart dynamic, the post-breakout rally may drive the asset 40% higher to a new high of $0.000018.
Also Read: Breaking: Mt. Gox Readies Transfer of Remaining 80.5K Bitcoins, BTC Faces Pressure
The Global In/Out of the Money (GIOM) metric for Pepe Coin presents a positive outlook. Currently, 77% of PEPE coin addresses are ‘in the money’ (showing profits), whereas only 11% are ‘out of the money’ (incurring losses). This distribution hints at potential price stability, as most investors are in a profit-will-uplift panic selling scenario.
Approximately 35,230 addresses that acquired 56.5 trillion PEPE at prices between $0.0000110 and $0.0000130 are breakeven. A potential breakout from the Inverse Head and Shoulders (H&S) pattern would also propel these holders into profit. Additionally, the tiny red spheres on the GIOM chart indicate minimal resistance for PEPE to reach its all-time high.
The 50D and 100D EMA wavering close to $0.0000108 creates a strong buyer support zone. Thus, a breakdown below this support could invalidate the bullish thesis and plunge the asset 12% to hit an ascending trendline since April 2024.
Defending this support is crucial for buyers, as a further breach could lead to a major correction.
Frequently Asked Questions (FAQs)
1. Is PEPE Price poised for Breakout?
2. What does the term 'in the money' mean for coin holders?
3. How does the RSI reflect the current market sentiment?
- Crypto Market Rally: BTC, BNB, SOL, XRP, ETH Surge Amid Q4 Momentum
- Bitcoin ETFs Record $2.2B Weekly Inflows as BTC Price Surges Past $120K
- Nomura Eyes to Ripple Dominance in Crypto Trading in Japan as Demand Rises
- Sharps Technology Plans $100M Buyback to Boost Solana Treasury as SSK ETF Hits Record $382M AUM
- Will Bitcoin Reverse to $115K Max Pain Price amid Crypto Options Expiry Today?
- Bitcoin Price Hits $120K, Is Citigroup’s Bold Q4 Prediction in Motion?
- Pi Network Price at Risk of Another Crash as Mysterious Whale Stops Buying
- Solana Price Eyes $360 After Bullish Retest As VisionSys AI Deploys $2B Treasury Strategy
- Cardano Price Forecast As Hashdex Listing Fuels Optimism For $1.27 Breakout
- BONK Price Rally Ahead? Open Interest Jumps as TD Buy Signal Flashes
- Shiba Inu Price to Surge as Whales Buy and Team Commits to Shibarium Growth