- Strong momentum and buying pressure should eventually push PEPE past the July highs.
- In/out of the money data showed this resistance zone to be particularly strong.
Pepe [PEPE] was one of dozens of popular altcoins to emerge from months of consolidation and range-bound trading. Since August, the third-largest meme coin has struggled to convincingly break the $0.000009 resistance.
A 58% increase in the past two weeks, coupled with a bullish market structure break, will buoy PEPE holders. Should they take profits and wait for the next move, or should they hold on waiting for a continued rally?
PEPE sees a small price drop after nearly three months of resistance
Source: PEPE/USDT on TradingView
The weekly chart showed that if Sunday’s trading session closes above $0.00000986, it would turn the weekly structure bullish. The daily structure was bullish and has been so since September 20.
The 78.6% Fibonacci level was defended and the rally towards the June and July highs was a refreshing sight. A rejection from the zone $0.0000123-$0.000013 is still possible. Therefore, swing traders who are already in a position should consider taking at least partial profits.
The CMF stood at +0.27 to highlight the heavy buying pressure over the past two weeks. PEPE moving above the 50DMA was another sign that long-term momentum was shifting bullishly.
The psychological resistance has been reversed
The round number of $0.00001 is a psychologically important level. At the time of writing, the meme coin was trading above this level and the high buying pressure meant it was likely to convert into a support zone.
Read Pepe’s [PEPE] Price forecast 2024-25
IntoTheBlock’s data shows that the $0.000011-$0.000012 is a major resistance zone. Many addresses bought the token in this price range and some might be tempted to sell after the lack of bullish movement since June.
Disclaimer: The information presented does not constitute financial advice, investment advice, trading advice or any other form of advice and is solely the opinion of the writer
