Pepe drops 8%, further weakness expected: analysis
2024-12-19
Category: None

PEPE’s price has dropped nearly 8% in the past 24 hours, days after reaching its all-time high on December 9. Momentum indicators, including the RSI at 33.3, show that PEPE is nearing oversold territory but has not yet hit the critical threshold of 30, leaving room for further correction.

Additionally, the 7D MVRV Ratio at -9.3% points to significant short-term holder losses, with historical data indicating a potential downside toward -12% to -15% before a rebound. Whether PEPE holds its key support at $0.0000188 or breaks lower will likely define its next major price movement.

PEPE RSI is currently at 25.87, reflecting a sharp decline since December 16. This indicates that the meme coin is approaching oversold territory, as its RSI nears the critical threshold of 30.

On the chart, the support at $0.0000188 is a critical level for PEPE price, as a breakdown below it could lead to further declines. If this support fails, PEPE may test $0.000017, with the potential to drop as low as $0.000011, representing a 47% correction from current levels.

This bearish outlook is reinforced by its EMA lines, which have formed a death cross as short-term EMAs cross below long-term EMAs, signaling continued downside momentum.

On the other hand, if PEPE price can regain positive momentum, it could challenge the resistance at $0.0000227.

A breakout above this level could open the door to further gains, with targets at $0.0000259 and potentially $0.000028 if the uptrend strengthens.