Analyst Forecast Final Dip For Pepe Coin Price Before 30% Surge

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As a seasoned researcher with over two decades of experience in the financial markets, I have seen trends come and go, but never one as volatile and intriguing as the crypto market. The recent surge in Bitcoin and the subsequent moves in the meme coin sector, particularly Pepe coin, have piqued my interest.

On Tuesday, the crypto market experienced significant increases with Bitcoin breaking through the crucial $70,000 barrier. This surge has ignited fresh energy, and as a result, the unpredictable meme coin sector showed considerable activity. Specifically, the meme coin featuring a frog symbol saw a 3.7% rise, challenging a resistance level not seen in four months. Despite this, experts predict that a small drop in the price of Pepe coin might still happen prior to an anticipated major upward trend.

Pepe Coin Price Poised for Final Dip Ahead of Projected 30% Rally

In a recent tweet, market analyst CryptoDoc highlights the Pepe coin price resonating mainly within two converging trendlines of the daily chart. This consolidation reveals the formation of a bullish continuation pattern called a symmetrical triangle pattern. 

According to theory, the overlapping lines suggest a pause in the current trend, giving it time to gather strength before resuming. Over the last four days, the price of Pepe has bounced back from its support line at $0.0000084 to $0.00000852, resulting in a 13% increase. This surge has boosted Pepe’s market capitalization to approximately $4.01 billion.

Even though the market is expected to continue rising, the analyst anticipates a brief return or drop to the green zone’s support level, which aligns with the lower trendline of the pattern.

If history tends to repeat itself, the resurgence at the bottom should rejuvenate the bullish trend for PEPE‘s price and potentially boost it by around 17%, aiming to challenge the existing resistance level. A successful reversal of this upper trendline into potential support could propel the asset towards $0.000012, marking a nearly 30% increase.

Check out the article on top meme coins to buy for a detailed analysis.

Traders Back Bulls as Funding Rate and Open Interest Surge

Based on information from Coinglass, the funding rate – which is influenced by open interest (OI) – has dramatically increased to $0.0139. This rise signifies that traders are willing to pay more to keep their long positions active, suggesting a robust optimism in the market about potential price growth. This spike implies a strong bullish outlook among traders, who appear confident in further price increases.

Furthermore, the open interest in futures contracts has been on an upward trajectory, rising from a recent bottom of $60.566 million to its current figure of $132.7 million. This represents a 119% increase or growth. High levels of open interest often indicate increased trading activity, which can amplify market fluctuations and potentially lead to higher volatility.

If sellers push prices below the supporting trendline, it means the downward pressure has overpowered the potential breakout, leading to an extended period of sideways movement instead.

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2024-10-30 01:55