Pepe Memecoin Surges 2.21% Indicating a Bullish Move Amid Market Recovery Signs

According to recent data, PEPE has risen by 2.21% in the last 24 hours, now trading at $0.000009705. This uptick comes after a 3.47% drop in the past week, which followed a significant 37.43% surge on monthly charts.

With a market capitalization increase of 1.90%, now standing at $4.09 billion, Pepe memecoin’s performance signals a potential bullish move. Let’s dive into the reasons behind this recovery and what investors should expect next.

Positive Price Movements Boost Investor Confidence in Pepe Memecoin

Pepe memecoin’s price increase of 2.21% is a positive development for investors who had witnessed a 3.47% drop earlier this week. Despite these fluctuations, the memecoin managed to post a 37.43% gain on monthly charts, showcasing its resilience amidst market volatility.

Crypto analysts are starting to take note of the memecoin’s performance. The recent price movements are a sign that investor sentiment is turning bullish, said Paul Murphy, a senior analyst at Crypto Insight. If the broader crypto market continues its recovery, we could see Pepe memecoin retesting previous highs soon.

One critical aspect of Pepe memecoin’s trajectory is its ongoing test of the $0.00001 resistance level. This key price point has proven challenging in the past, with multiple rejections. However, with the current market environment and growing optimism surrounding Pepe memecoin, some analysts believe that a breakthrough may be imminent.

One of the standout metrics indicating the bullish case for Pepe memecoin is its adjusted Daily Active Addresses (DAA) divergence. This metric, which tracks the relationship between price movements and active wallet addresses, has remained positive throughout the past week, suggesting an increase in demand for it.

According to data from on-chain analytics platform Santiment, the sustained positive DAA divergence signals that investors are accumulating Pepe memecoin, despite the recent price fluctuations. This could create a stronger foundation for future gains if the trend continues.

Pepe memecoin’s funding rates have also turned positive, reaching 0.006% at the time of writing. Positive funding rates typically indicate that traders are more inclined to take long positions, reflecting growing confidence in an asset’s upward trajectory.

The shift in Pepe memecoin’s funding rates suggests that there is increasing demand for long positions, as investors anticipate higher prices in the short term. This sentiment is mirrored in the Open Interest (OI) Weighted Funding Rate, another critical metric that shows market sentiment is leaning toward the bullish side.

The consistent positive funding rate for Pepe memecoin highlights that the market is becoming more confident in its upward potential, said Emily Greene, a derivatives expert at Coinglass. As more investors open long positions, we could see even more upward pressure on the price.

Adding to the bullish signals, data from Coinglass shows that Open Interest for PEPE has increased by 2.88% to $140.15 million over the past 24 hours.

This increase in OI suggests that more traders are entering the market with fresh positions, likely in anticipation of further gains. The rising Open Interest for it indicates that market participants are expecting a rally, noted James Cole, a futures trader at Bybit. When you combine this with positive funding rates and strong DAA metrics, it points to a potential bullish breakout.

Will Pepe Memecoin Maintain Its Momentum?

While the recent recovery signs are promising, it’s crucial to recognize that it, like other memecoins, remains highly volatile. Despite the current bullish indicators, price swings can happen quickly, especially given the speculative nature of memecoins.

Pepe memecoin’s price of $0.000009705 is still below its recent high of $0.0000119, meaning there’s room for growth if market conditions stay favorable. However, analysts urge caution. It’s important to approach Pepe memecoin with a balanced perspective, said Kelly Michaels. While the indicators are positive, investors should be aware of the inherent risks in the memecoin market.

Nevertheless, if the broader crypto market continues its recovery and Pepe memecoin sustains its momentum, there’s a strong chance that it could see another rally, possibly surpassing the critical $0.00001 resistance level. Get more from The Bit Gazette