PEPE experienced a significant 17.85% bounce just two days after hitting a local low around $0.00001300, in line with Cointelegraph’s earlier prediction. Currently, the meme coin is trading as high as $0.00001340 on June 12.
This surge in price was accompanied by an increase in trading volumes, indicating a stronger conviction among traders that could potentially drive further upward momentum.
Multiple indicators are pointing towards a bullish outlook for the PEPE market, suggesting that the memecoin could see a substantial 50% price increase by the end of June. Let’s take a closer look at these potential catalysts.
PEPE’s price action has formed a rising wedge pattern, hinting at potential gains of up to 70% from current levels as it rebounds towards the upper trendline at approximately $0.00002661. Despite the possibility of a breakdown typically associated with rising wedges, the ongoing rebound from the trendline suggests a different outcome for PEPE.
Critical support levels near the lower trendline, including the 50-day exponential moving average and the 1.0 Fibonacci retracement line, support the potential for a rebound. However, a break below this support confluence could lead to a bearish scenario with downside targets between $0.00000283 and $0.00000642 by the end of June or in July.
The market sentiment for PEPE remains positive, with large investors continuing to accumulate and hold the meme coin. The percentage of PEPE supply held by the largest holders remains stable around 96.02%, indicating confidence in their positions despite price corrections in June.
Smaller holders have also been actively accumulating PEPE during price dips, signaling increased participation and confidence among retail investors. This strategic accumulation from a broader range of holders bodes well for PEPE’s upside potential in the current market conditions.
PEPE’s potential for a 50% rally by the end of June is further supported by expectations of a Federal Reserve interest rate cut in September. Bond traders are increasing their bets on a 250 basis point rate cut, leading to a decline in Treasury yields and potentially boosting the appeal of risk assets like memecoins in June.
It is important to note that this article does not provide investment advice or recommendations. All investment decisions involve risk, and readers are advised to conduct their own research before making any investment or trading decisions.