beincrypto.com
$PEPE price is showing signs of a breakout despite the slight decline over the last 24 hours.
The investors are backing this outcome, making the meme coin’s future appear appealing.
$PEPE Investors See Profits
$PEPE price could be breaking out of the bullish descending wedge pattern that it has been in since mid-May. One of the biggest driving factors is not more participation but less from a particular group of investors, the short-term holders.
$PEPE’s short-term holders, defined as those who hold the coin for less than a month, have seen their dominance drop to just 8%. This marks the lowest level on record, indicating a significant shift in the sentiment towards $PEPE.
The drop in short-term holder dominance is noteworthy because these investors are typically more inclined to sell. With fewer short-term holders in the market, the selling pressure on $PEPE has decreased, which could be a positive sign for the altcoin.
Read more: Pepe: A Comprehensive Guide to What It Is and How It Works
The diminished influence of short-term holders suggests that more investors are holding onto their $PEPE for longer periods. This could contribute to a more stable price environment.
Adding to the optimistic outlook, the Chaikin Money Flow (CMF) indicator for $PEPE shows that inflows have been very strong. This suggests that a significant amount of capital is entering the market, which could help fuel a recovery for the altcoin.
Thus, the combination of reduced short-term holder dominance and strong inflows points to a potential recovery for $PEPE.
$PEPE Price Prediction: Noting a Rally Could Be Difficult
While the positive cues point towards growth for $PEPE price, there is an equal possibility of a decline. The bullish pattern suggests that the meme coin could note a 79% rise upon breakout, which could push it beyond an all-time high.
Realistically, upon breakout, the $PEPE price will likely first aim to flip $0.00001146 into support. Achieving this will determine whether the altcoin can continue its uptrend.
Read more: Pepe ($PEPE) Price Prediction 2024/2025/2030
On the other hand, trading at $0.00000845, the meme coin is holding above the supports of $0.00000840 and $0.00000775. Losing these levels will send $PEPE to test the lower trend line of the pattern, and if it falls below it, it invalidates the bullish thesis. As a result, the crypto asset could drop to $0.00000600 or lower.