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PEPE (PEPE/USDT) has been quite bullish in the recent past. It has evidenced by a bullish surge that took the price past the upper Bollinger Band. After its surge to a high level of $0.000020, the price has now slightly retraced, indicating consolidation.
ZackGold16 believes that PEPE should take a temporary break before it starts soaring high again, fuelled by heavy trading volumes and social media trends pegging PEPE as one of the top meme coins.
PEPE Price Bullish Momentum and Overbought Indicators
In recent days, PEPE has surged, crossing over the upper Bollinger Band.
This rise shows a strong buying signal. While trading above the upper Bollinger Band may suggest that the asset might have been overbought in the short term.
PEPE has slightly retreated to $0.000015, this might be a sign of profit-taking or the consolidation period.
Relative Strength Index (RSI) is currently at 67.51 now beyond the midpoint and towards overbought level. Even though it has not reached the overbought level, it is close to the value of 70. It indicates slowing buying momentum.
If the RSI continues with its increasing RSI level and gets more into the overbought territory some retrace or consolidation to a lower extent may occur and PEPE can find some support there before the next rally.
Moreover, the first level of resistance is located at $0.000023 and $0.00002, which is the recent high. Any pullback above this level coupled with high volume may indicate that the bulls will continue pushing the price upwards.
On the other hand, support is placed at the middle band of the Bollinger Bands at $0.00001012 if PEPE’s price pulls back further.
Analyst ZackGold16’s Insights and Future Targets
Analyst ZackGold16 points out that PEPE is up by 91% since the latest election held in the United States, and has established a clear uptrend.
This trendline, supporting PEPE’s rise, reflects substantial buying pressure but may soon need a reset to avoid overheating.
ZackGold16 is expecting a minor downward correction as the RSI often bounces back from the oversold zone while the 4-hour 105 EMA gets aligned with the price.
Currently, the RSI is in the overbought area, which implies that PEPE might start to form a short-term consolidation pattern.
A reset of the RSI along with the correct alignment with the 105 EMA will be a better starting point for the next possible rally.
ZackGold16 targets $0.000020 for PEPE after consolidation, aligned with the 1.618 Fibonacci extension, a strong resistance level.
Analysts recommend traders remain patient as PEPE consolidates, allowing momentum indicators to reset before the next rally.
Traders are likely watching for a break above the trendline and alignment with the EMA to gauge the timing of the next bullish phase. According to ZackGold16, achieving these conditions could set the stage for PEPE to reach the $0.000020 target.
Community Sentiment and Social Media Buzz
A user on X wrote that PEPE has crossed $6.29 billion in daily trading volume going past 100% market cap. This volume is more than the daily trading volume of other meme coins such as WIF, BONK, FLOKI, SEI, and POPCAT.
This high trading volume means there is a high trading interest and strong market depth which means that PEPE could rally even with the support of traders.