PEPE Drops 2.6% Unable to Break Resistance Levels

What to Know:

• PEPE, a meme-inspired cryptocurrency, underperformed in the broader crypto market, falling by 2.6% in the last 24 hours.
• Despite the dip, PEPE has shown resilience, outperforming the memecoin sector and witnessing increased activity in derivative markets.
• Market sentiment hinges on whether PEPE can sustain its position above the $0.000091 support zone, with a potential shift if it breaks above $0.000095.

The meme-inspired cryptocurrency, PEPE, has been trading near $0.0000915, indicating a 2.6% dip in the last 24 hours. This performance puts PEPE significantly behind the overall crypto market, as reflected by the CoinDesk 20 (CD20) index, which fell by a tamer 1.4% in the same timeframe.

PEPE’s trading range for the session was between $0.0000913 to $0.0000951. The digital asset started the session at around $0.0000939 and made an early run, topping out at approximately $0.000095. However, consistent sell-offs exerted downward pressure on the token. PEPE’s price steadily decreased during the night and early morning, briefly consolidating around $0.000092 before sliding lower.

Interestingly, despite the dip, derivatives markets witnessed a surge in activity. PEPE managed to outshine the memecoin sector, which saw a 3% dip in the past 24 hours. The CoinDesk Memecoin Index (CDMEME) keeps track of this sector’s performance. PEPE futures saw open interest reaching $560 million, as per CoinGlass data, with the total trading volume escalating to $1.2 billion.

At present, market analysts are keeping a close eye on whether PEPE can maintain its position above the critical $0.000091 support zone. A slip below this could drive the digital asset into lower trading ranges. Conversely, if PEPE manages to break above the $0.000095 mark, it could shift market sentiment in its favor. However, such a move would require stronger volume and validation from broader market conditions.

From a technical analysis standpoint, PEPE’s 24-hour trading range covered a spread of $0.0000034, which is about 4% between the session’s highs and lows. Sellers regularly appeared around the $0.000095 mark, establishing it as a resistance level for now.

Support near the $0.000092 level managed to hold up during the early to mid-session tests but showed signs of weakness in the final hours. Interestingly, PEPE exhibited signs of a higher low formation earlier in the session, a pattern often associated with bullish accumulation.

However, declining volume towards the close indicates hesitation rather than conviction. Temporary surges in trading activity suggest attempts at positioning during short-term breakouts. Nonetheless, these efforts lost momentum as volume dropped. Unless buyers return with force, the recent attempt at consolidation may give way to a broader retracement.

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