PEPE Price Nears Key Support: A Big Bounce Ahead?

The PEPE Price has been steadily falling over the past few weeks. It has shown drops on the daily, weekly, and monthly charts. If this downturn continues, PEPE might dip more, leading to the loss of investors. Many investors believe that a strong rally could pick the PEPE up from this downturn. 

Let’s take a closer look at market data and why things might be setting up for a turnaround.

Accumulation Phase Could Trigger a Price Jump

At the moment, PEPE is trading within a symmetrical triangle pattern. This is known as a bullish formation and usually indicates accumulation. In simple terms, the price is moving between support and resistance lines, preparing for a breakout. If the breakout happens upward, the PEPE Price could see a surge of up to 65 percent, reaching around $0.00001144.

But before that happens, a drop to the support level of $0.00000681 is expected. This dip could act as a base for the price to bounce from and begin its upward move.

Technical Indicators Show Downward Pressure

Some key indicators are pointing toward a short-term drop. The Bollinger Bands, which track price volatility, show that PEPE is trading near the middle band. This has often served as resistance and could push the price slightly lower. At the same time, the Chaikin Money Flow (CMF) suggests that the market is currently in a distribution phase, with more selling than buying.

Even so, the CMF is still in the positive zone with a reading of 0.4. That means the selling pressure isn’t too robust, and the downward move could be brief.

Minimal Drop Expected Before Turnaround

The slight drop that’s expected might actually be a good sign. Since indicators remain positive overall, this dip might be short-lived. The PEPE Price could touch the key support level and then bounce back up with strong momentum. If that happens, the rally path stays intact and could fulfill the expected breakout.

Spot Traders Push Price Down, But Accumulation Continues

Spot market traders have also played a part in the recent dip. Around $2.78 million worth of PEPE has been sold, which contributed to the price moving lower. However, the slow pace of this selling suggests it’s more of a quiet accumulation phase than a panic-driven sell-off. That’s usually a good sign in the bigger picture.

Rally Path Still Possible

Despite the recent decline, the potential for a sharp rebound remains. The symmetrical triangle pattern is still valid, and technical indicators haven’t flipped negative. If the PEPE Price finds support at $0.00000681, there’s a strong chance of a breakout to the upside.

Investors are now watching closely to see if the support holds. If it does, a significant upward move could reach new growth within no time.