PEPE Token Enters Correction Phase Amid Key Support Level Watch
PEPE is currently experiencing a correction after a period of upward momentum. As the token retraces from recent highs, traders are focusing on key support levels that may influence its recovery potential. The question remains whether these levels will hold and facilitate a bounce-back or lead to a further decline.
This article examines PEPE's price movements during this correction phase, emphasizing critical support and resistance levels to provide investors and traders with insights into possible rebound areas and factors affecting its future trajectory.
Understanding PEPE's Correction: What Triggered The Pullback?
PEPE has shifted bearish on the 4-hour chart, facing resistance at $0.00001152. This inability to maintain an uptrend has led to a decline toward the 100-day Simple Moving Average (SMA). Falling below this SMA could heighten selling pressure, while a rebound might indicate a price reversal.
The 4-hour Relative Strength Index (RSI) indicates waning bullish strength, dropping to around 68% from the overbought zone. Continued decline in the RSI may suggest an oversold market, potentially leading to a deeper correction.
On the daily chart, PEPE displays significant negative movement through a bearish candlestick, reflecting persistent selling pressure. The token trades above the 100-day SMA, typically viewed as a bullish sign; however, the bearish candlestick limits upward momentum.
On the 1-day chart, the RSI signal line approaches the critical 50% level, marking a neutral zone between buying and selling pressure. A dip below 50% could indicate bearish sentiment, while maintaining or surpassing this level may suggest continued bullish strength, possibly resulting in further price gains.
Where PEPE Could Find Stability
Key support levels are essential for PEPE to find stability and reverse its downtrend. One primary support level to monitor is $0.000000766, historically recognized as significant. If PEPE approaches this level, it may attract renewed buying interest, leading to a potential rebound.
If PEPE breaks below this support, it could initiate a prolonged decline, potentially targeting $0.00000589 and lower.
