Pepe Coin Faces Potential Price Decline Amid Market Activity

Pepe Coin Poised for Price Drop Amidst Market Activity

Despite experiencing a notable surge in value by 25% recently, Pepe Coin (PEPE) has faced a substantial drop in the past few weeks. The upward momentum appears to be diminishing, raising concerns about the sustainability of the recent rally.

On-Chain Analysis

Mean Dollar Invested Age (MDIA) measures the average time a cryptocurrency remains in the same address. An increase in MDIA suggests investors are holding onto their tokens, while a decrease indicates inactive wallets are becoming active again.

Data from Santiment shows a decline in PEPE's 90-day MDIA value, indicating a potential price decline due to increased circulation.

Trading Volume

PEPE's trading volume has also decreased, currently standing at 613.26 million dollars. A surge in volume typically supports an upward trend, but a decline after a price increase suggests the trend may not continue.

Technical Analysis

The daily chart indicates that PEPE has encountered resistance at the 50-day Exponential Moving Average (EMA) zone. The current price is trading slightly below this level, suggesting a potential bearish outlook.

However, it is still trading above the 20-day EMA (blue). If the recent red candlesticks persist, the price may fall below this short-term trend line.

Price Forecast

If the bearish trend continues, PEPE could drop to 0.0000077 dollars. Conversely, if the upward momentum resumes, it could reach 0.0000098 dollars, potentially leading to a 0.0000100 dollar mark.

The post was originally published on COINTURK NEWS.