Key PEPE Holders Avoid Selling Despite Major Price Drop

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Recently, the meme coin Pepe (PEPE) has seen substantial price fluctuations. In a span of only 24 hours, it plunged by 12%, disrupting a promising upswing that seemed to be recuperating losses incurred from mid-December.

The negative trend in PEPE was driven by larger market signals, which eroded its key support points. Yet, even with this temporary setback, the hopefulness among PEPE investors might mitigate the potential for significant further losses.

PEPE Investors Are Maturing

Short-term investors (STIs) of PEPE have surprisingly maintained their commitment by transforming into medium-term investors (MTIs) rather than liquidating during the recent dip. Over the past fortnight, the percentage of STIs has dropped significantly from 48% to 19%, a substantial decrease of 27%. This transition reveals that numerous investors are hopeful about the meme coin’s future potential and prefer to hold onto their investments instead of selling off.

The increasing maturity shown by PEPE token holders implies they are becoming more confident in its ability to recover. This optimism is essential for maintaining a stable price because it lessens the likelihood of mass selling during downturns. Additionally, this trend demonstrates that there’s a solid foundation of dedicated investors backing cryptocurrency.

Recently, the overall trend for PEPE has shifted towards bearishness, as suggested by significant technical indicators. For instance, the Moving Average Convergence Divergence (MACD) is approaching a bearish cross-over, which typically signals the end of the recent bullish trend. This change in direction follows a brief period of bullishness earlier, underscoring the current pressure pushing prices downwards.

As I observe the current market landscape, it seems that my research points towards a shift in momentum that appears particularly impactful on meme coins such as PEPE. If this negative trend continues, it might exert additional pressure on PEPE’s price, making it difficult for the coin to mount a swift recovery within the immediate future.

PEPE Price Prediction: Securing Support

Presently, PEPE is being traded at a price of $0.00001823, having dropped by 12% in the last day. This decrease followed PEPE losing its key support level at $0.00002062, demonstrating the influence of the prevailing bearish market conditions.

If the bearish signals persist, PEPE might drop even more towards key support zones at $0.00001785 and $0.00001696. This trend could prolong the losses, pushing back any chances of a recovery. But if the overall market sentiment switches to optimism, it may generate the push necessary for PEPE to rebound.

If PEPE manages to regain its value of $0.00002062 during recovery, this level could be crucial as a foundation for growth. This move would counteract the bearish trend and help the meme coin recoup the 12% loss it experienced in the last day. Such a bounce-back would strengthen investor faith and prepare the ground for continued positive movement.

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2025-01-08 19:39