With crypto market sentiment seemingly switching bullish over the past few days, Pepe’s price has begun to rally. The bear market phenom is currently trading at $0.0000006937, up 6.23% in the last 24 hours. Will this momentum continue, or is it merely a bull trap on a downtrend?
Meanwhile, the new Meme Kombat token is making waves in the meme coin world as its ICO passes the $500k milestone and traders back it to see big returns.
The Pepe price has plunged recently, down -19% from its high on 3 October and a staggering -84% from its 6 May all-time high (ATH).
That said, bullish sentiment seems to be on the uptick as the price has formed a well-known bullish chart pattern known as a “double bottom.”
A double bottom is where the price finds a support level on a downtrend, retests it, and reverses in the opposite direction. This strongly indicates a trend reversal, but investors must await other reversal confirmations to arise in confluence.
The double bottom formed on the daily time frame, indicating a marco reversal. Furthermore, the bounce has shown significant bullish momentum, beginning with a bullish engulfing candle and continuing with several more strong green candles.
While the market structure looks bullish, there are numerous other crucial considerations. Firstly, we are yet to create a higher high. This would occur when the price breaks and holds above the $0.0000008149 level (the dotted line on the above price chart).
Without this, Pepe remains in a downtrend, and buying at this level could be compared to “catching a falling knife.”
Furthermore, the price is trading below the 50-day EMA, another indication of bearish momentum.
Lastly, the RSI indicator is in the neutral region at 48.84. This is neither bullish nor bearish but may creep to the overbought territory as we approach the 50-day EMA and $0.0000008149 resistance, opening the door to a rejection and downtrend continuation.
Nevertheless, the recent double-bottom formation has sparked some much-needed optimism about the Pepe price after months of “down only” movement.
Trader without_worries recently published a Pepe trading idea in which the analyst said Pepe is about to enjoy a solid upward move. The forecast references its recent bullish price action and numerous technical indicators.
UnstoppableBulls is also bullish on Pepe, pointing out its recent double bottom as a key indication that its price could explode. The trade idea also highlights a recent falling wedge, frequently resulting in bullish price action.
Meanwhile, KhaldHegazy takes a longer-term outlook, utilizing Elliott’s rules to predict that Pepe will decrease significantly. According to the analysis, Pepe could reach lows of $0.0000002, which it refers to as its “strongest support area.”
While Pepe’s price is showing its most promising signs in recent months, its preceding bearish trajectory means traders must await a reversal confirmation before buying.
Still, all is not lost for traders looking for a high-potential meme coin to buy now. Introducing: Meme Kombat, a new presale project gathering tremendous bullish momentum.
Meme Kombat is a new presale project enabling investors to gamble on AI-generated battles between their favorite meme characters.
The presale has raised over $530K despite launching recently, luring investors with a whopping 112% staking APY. Furthermore, unlike most other presale projects, Meme Kombat presale buyers can begin staking and earning yield immediately.
One of the main draws to Meme Kombat is that although it is a meme coin, it also boasts significant utility.
Besides staking, users also gamble on meme battles and earn rewards in $MK, providing a potentially sustainable, long-term demand stream for the token.
Coupled with the fact that many tokens will be locked for staking, we could see high demand and low supply for Meme Kombat, enabling its price to flourish once it hits the open market.
Prominent analysts have already weighed in on Meme Kombat’s potential. For instance, Michael Wrubel recently explained several reasons he is bullish on the project to his 300K YouTube subscribers.
As well as its compelling use case and robust token utility, Meme Kombat also boasts a carefully engineered token distribution.
50% of tokens will be available in the presale, 10% will go to DEX liquidity, 30% to staking and battle rewards, and 10% to community rewards. This puts 100% of tokens in the community’s hands, enabling stable and long-term price action. Therefore, investors looking to secure the best price should act fast.
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