Disclaimer: The information presented does not constitute financial, investment, trading or other advice and is solely the opinion of the author.
- PEPE faced high-level price rejections.
- Sellers gained an advantage in the market; Financing rates remained positive.
Pepe [PEPE] has fallen steadily in the third quarter of 2024 and shows a declining channel. The recent recovery attempt faced a price rejection at the all-time high of $0.00000085, which could further derail the bullish efforts.
Read Pepe [PEPE] Price prediction 2023-24
PEPE has not only undergone a downward trend. Other memecoins also recorded significant losses in the third quarter.
Will the middle class continue to decline?
Source: PEPE/USDT on TradingView
The recovery attempt in the second half of September was interrupted at the range high. A Fibonacci retracement tool was placed between the August high and the recent low. Based on the Fib tool, the Fib level of 23% ($0.00000081) corresponded to the range high.
Moreover, the level was close to the June low. As such, the area could be a bearish zone, and PEPE could retarget it if the decline subsides at the confluence of the 0 Fib level and the mid-range near $0.00000060.
A longer plunge could see the bulls regroup at $0.00000040, especially if BTC reverses most of its recent gains.
Meanwhile, buying pressure peaked and subsided after reaching the range high, as shown by the RSI. Similarly, PEPE recorded significant capital inflows, as evidenced by the positive CMF.
Sellers consolidated the market
Source: Coinalyse
The decline in CVD (Cumulative Volume Delta) indicated that sellers were seeking more ground at the time of writing. The price turnaround was followed by a decline in Open Interest (OI) rates. It illustrates that demand for PEPE has also declined in the futures market in the last few hours before going to press.
How many Worth 1,10,100 PEPE today?
But OI improved and funding rates remained positive at the time of writing. It meant bulls were trying to reenter the market.
The $0.00000060 confluence level could be the ideal re-entry point for bulls, but tracking BTC is crucial for optimized setups.