PEPE is approaching a key moment, testing the USD 0.00001152 level, a critical intersection that may shape its further direction. A break above this key resistance could trigger renewed momentum, sending the price higher. However, failure to break above this level could lead to rejection, potentially pushing the meme coin into a retracement phase.
As investors focus on this key resistance, this analysis will examine the probability of a breakout relative to a potential rejection by analyzing PEPE’s current price action as it approaches the critical resistance level of $0.00001152. Key technical indicators, market sentiment and trading volume will be examined to provide a clearer perspective on the next move.
Current PEPE price action
Currently, despite trading above the 100-day basic moving average (SMA), the PEPE price on the 4-hour chart is showing signs of potential rejection. Once you reach the key resistance level of $0.00001152, the price began to decline, signaling that the positive move may be waning and a deeper pullback could occur if the same corner will not regain its growth dynamics quickly.
Additionally, the Relative Strength Index (RSI) dropped to 82% after reaching a high of 88%, indicating that buying pressure has eased. Although the RSI remains in overbought territory, this decline suggests that growth momentum may be waning. Such a decline typically signals that the asset may be entering a consolidation phase or experiencing potential price retracement, especially if the asset is having difficulty breaking through key resistance levels.
On the daily chart, the crypto asset showed a robust upward movement with multiple bullish candlesticks forming after breaking above the 100-day SMA. However, the current candle reveals a rejection wick, signaling increasing selling pressure. If this rejection continues, it could indicate that bullish strength is weakening, potentially leading to consolidation or a deeper retracement as investors take profits.
Finally, on the 1-day chart, the RSI has risen above 50% and is currently at 75%, reflecting robust bullish sentiment and prevailing buying pressure. While this suggests further price growth, the proximity to overbought territory increases the possibility of a pullback if buying weakens. Further growth could strengthen the upward trend, while a decline could indicate an upcoming correction or consolidation.
Divided market sentiment: what’s next for Meme coin?
PEPE’s recent price action has caused market divided, with investors speculating between optimism about a breakout and caution about a potential rejection. If the meme coin encounters rejection, it could begin to move back towards the $0.00000766 level and potentially lower support levels.
However, a successful break above the $0.00001152 resistance level could indicate increased buying momentum, which could set the stage for further gains and head towards higher resistance levels such as $0.00001731 and beyond.
Featured image from iStock, chart from Tradingview.com
