- Purple Pepe has a strong bullish structure on the 4-hour chart
- It is not yet listed on major exchanges, which could strengthen its bullish situation
Purple Pepe [PURPE] rose 1,940% in just over a week, but saw a deep pullback in the past twelve hours. The memecoin’s price is down 33% from its all-time high of $0.0003713.
In the last 24 hours alone, the token is up just over 120%, and daily trading volume is up 190%. The Bitcoin [BTC] The $99.8k pullback that started on Monday hasn’t stopped, but this hasn’t stopped the PURPLE rally.
The sentiment behind Purple Pepe remains bullish. The $86.35 million market cap meme started trading in June 2024. Trading volume was below $1 million from late August to November 14.
Increased trading volume over the past two weeks supported the idea that real demand fueled PURPE’s rapid rally. Will market sentiment remain as strongly bullish in the coming days and weeks?
Purple Pepe recovers from the setback
Source: PURPE/USD on CoinMarketCap
The market structure of the Purple Pepe meme has been bullish since November 13, when the token rose 230% in 8 hours. This coincided with increased trading volume, a sign of greater trader participation.
Small-cap meme coins have recorded rallies of 100% or even 1,000%, but ultimately most of these gains are quickly recovered. Therefore, Solana coins with a market cap of less than $10 million rising ten times in a week are not always a sign of continued gains. Profit-taking pressure and a lack of new demand could push these coins back dramatically.
Smart, professional traders who look at these hundreds of tokens and notice a spike in social media engagement or trading volume can bet small on these tokens in search of more profits.
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As things stand, Purple Pepe has retested the 50% Fibonacci level at $0.0001966 and recovered well. The bullish structure persisted. A bearish bias would develop in the near term if PURPE falls below $0.00014.
Purple Pepe has yet to be listed on major centralized exchanges – an event that could increase visibility and therefore demand.
Disclaimer: The information presented does not constitute financial advice, investment advice, trading advice or any other form of advice and is solely the opinion of the writer