PEPE Coin Price Prediction: Is Another Drop On Cards?
Key Insights:
- A clear downtrend with multiple CHoCH and BOS patterns suggesting a bearish move ahead.
- Binance’s PEPE liquidation map showed a cluster of long liquidations close to $0.000011581 price.
- Over the past 3 months, PEPE’s OI-weighted funding rate showed that the market kept moving from bearish to bullish.
Meme coins were down after the recent surge that ignited the potential a market recovery with PEPE coin price prediction suggesting more downward potential.
PEPE Price Prediction
On the 4-hour chart, PEPE coin price prediction tracked a clear downtrend with price sitting at $0.00001177, down 0.42%.
It featured several CHoCH (Change of Character) moments as well as episodes where the structure was broken (BOS).
These movements showed bullish and bearish changes, though they concluded in a downtrend.
After the BOS, PEPE went down to $0.00001500 with the CHoCH showing as a rejection. This seemed like breakout efforts were unsuccessful.
Following this, the price broke the support level at $0.00001300 and again visited the demand zone at $0.00001100, where it recovered for a little time.
The resistance to pay attention to for PEPE was around $0.00001400–$0.00001500, a past BOS level.
The immediate stop was at $0.00001100 and breaking this point may result in a drop to $0.00001000.
CHoCH formations in May 24–June 3 were unable to sustain the uptrend, since BOS signals held back the market’s increase.
Otherwise, if PEPE remained above $0.00001100 and breached higher at $0.00001280 with heavy trading volume, the trend of reversal could occur.
Throughout this time, the market kept declining. A more bullish pattern would be needed before buying resumed.
PEPE Liquidation Map
Meanwhile, Binance’s PEPE liquidation map showed a bunch of long liquidations close to the price of $0.00001136 as of press time.
This was evident from the big yellow and blue bars around $0.00001150 to $0.00001250, which meant 25x and 50x leverage positions might get wiped out soon.
Total long liquidations went down, indicating many longs had already been knocked out or were in trouble.
On the flip side, total short liquidations went up from $0.00001200 and beyond, hinting that short interest was building up steadily.
This might cause a squeeze if the price went beyond $0.00001260. The PEPE coin price prediction chart supported this with many 25x/50x short leverage bars in these areas.
If the price drops under $0.0000114, more long liquidations are likely to be seen. However, falling back to $0.0000122 might lead to a short squeeze, making traders sell their positions up to $0.000013 or more.
In this range, a tight battle between pressure and resistance levels was seen. So, any sudden price change could affect both.
PEPE Coin OI-Funding Rate
Over the past three months, PEPE’s OI-weighted funding rate showed that the market kept moving from bearish to bullish.
When funding was positive, it suggested long positions were dominant while negative reading meant most trading was done by shorts.
Significantly, investors were really aggressive about selling during the dips in mid-April and late May.
Funding rate were pretty even or tilted gently toward the positive as of press rime. This suggested that PEPE coins were traded evenly among long and short positions.
The price line moved up when investors put money into PEPE and moved down when PEPE was being shorted in large numbers.
Usually, when short funding periods last for a long time and become more severe than -0.010%, the market rebounds as many traders are usually forced into coverage.
Even so, large funding zones for longs were usually a sign that longs needed to be cautious before seeing a reversal.
If funding spiked, traders should be alert; if it went back to being negative, a relief bounce could follow and if it became very positive, a local top may be forming.
