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PEPE Crashes 67%, Is Rebound on Horizon?

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PEPE Crashes 67%, Is Rebound on Horizon?

The crypto market has been hit with a major sell-off, and meme coins are feeling the heat. Frog-themed meme cryptocurrency PEPE has declined over 26% in the last 24 hours, bringing its overall decrease to a shocking 67% from its all-time high of $0.000028 reached last December.

At the time of writing, PEPE had slightly pared its losses, down 20% to $0.00000967. Despite the sharp drop, PEPE’s trading volume has increased by 237%, surpassing $3.26 billion in the last day. This spike in trading activity suggests that traders might be repositioning, which could indicate a shift in momentum.

PEPE Crashes 67%, Is Rebound on Horizon?

While PEPE’s price drop might seem concerning, the surge in trading volume could indicate growing interest from traders looking to capitalize on the dip.

Is rebound imminent?

PEPE has steadily declined since reaching all-time highs of $0.000028 on Dec. 9. The declines brought PEPE below its daily SMA 50 at $0.00001752 in mid-December, where it remained until late January, before it fell to lows of $0.0000113.

The PEPE price further declined to slip below the daily SMA 200 at $0.00001328, hence losing key support that has held up its price since November. After three days of rebounding below the daily SMA 200, PEPE began to decline again, adding a zero to its price tag.

PEPE plummeted to a low of $0.0000079 today, marking the third day of losses if the session concludes in red.

Having said that, the first sign of strength would be a rebound above the daily SMA 50 and 200, respectively. However, much of PEPE’s potential rebound might depend on broader market conditions. If Bitcoin and other major cryptocurrencies rebound, meme coins such as PEPE may follow suit.

On the other hand, if selling pressure persists, PEPE may challenge the $0.0000079 support. A breach below this level may indicate greater downside risk.

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