PEPE’s price is facing stagnation, with potential risks posed by short-term holders who may sell, hampering the meme coin’s recovery chances.
Points
- PEPE’s price is facing mild consolidation and potential downtrend.
- Short-term holders dominate 20% of the circulating supply, posing a sell-off risk.
- Active addresses by profitability indicate that over 25% of investors are in profit, prone to selling for profit.
- PEPE needs to breach critical resistance to reclaim its uptrend.
PEPE, the popular meme coin, is currently experiencing mild consolidation and a potential downtrend. This stagnation is attributed to the investors’ moderately bearish tone and the influence of short-term holders.
PEPE Investors May Sell
Short-term holders, known for holding their assets for less than a month, currently dominate 20% of PEPE’s entire circulating supply. This is an increase from 14% following the mid-July rally. While their presence is not alarmingly high, it poses a risk of potential sell-offs, which could trigger further bearishness for PEPE.
The overall sentiment of selling is also reflected in the active addresses by profitability. According to data from Beincrypto, a little over
25% of the participating investors are in profit. These investors are usually prone to selling for profit, and a figure above 25% is a matter of concern. Over the last two weeks, PEPE investors’ participation has contributed to about 25% to 29% of the investors conducting transactions on the network. This suggests a significant proportion of investors are looking to capitalize on their gains, which could lead to increased selling pressure.
PEPE Price Prediction: Sideways Ahead
PEPE’s price is currently trading at $0.00001173, just above the support level of $0.00001146, which is a critical support line for the meme coin. However, its inability to breach the $0.00001369 resistance level is keeping profits at bay. Breaching this line is essential for PEPE to reclaim its uptrend. As long as this resistance remains unchallenged, recovery for the meme coin could be far away.
On the other hand, if the selling intensifies and offsets any potential gains, the price could decline. PEPE could lose its support at $0.00001146 and fall to the next support level at $0.00001007, invalidating the current bullish-neutral thesis. This scenario would present a challenging environment for PEPE, making it difficult to regain upward momentum.
解説
- Short-Term Holders’ Impact: The significant presence of short-term holders, who dominate 20% of PEPE’s supply, increases the risk of sell-offs. This factor contributes to the current price stagnation and potential downtrend.
- Investor Profit-Taking: With over 25% of active addresses in profit, there is a high likelihood of profit-taking, which adds to the selling pressure. Investors looking to capitalize on their gains can hamper the coin’s recovery prospects.
- Critical Resistance and Support Levels: PEPE’s ability to breach the $0.00001369 resistance level is crucial for reclaiming its uptrend. Failure to do so keeps the price in consolidation. Losing support at $0.00001146 could lead to a further decline to $0.00001007.
- Market Sentiment: The mixed signals from the market reflect a cautious investor sentiment. The potential for increased sell-offs among profitable investors adds to the uncertainty surrounding PEPE’s price movement.
- Outlook: Investors should monitor the critical support and resistance levels. Breaching these levels will determine PEPE’s short-term direction. The presence of short-term holders and profit-taking investors are key factors influencing the coin’s price dynamics.