Pepe coin price forms bullish patterns as CEX outflows rise

Pepe coin price held steady on Monday as centralized exchange outflows rose after forming several bullish patterns. 

Pepe (PEPE) rose to $0.000070, up by about 35% from its lowest level this year, giving it a market cap of $2.9 billion. 

Data from Nansen shows that many investors are moving their tokens from exchanges to self-custody. Tokens held on exchanges dropped to 240.15 trillion, down 1.21% from last week.

Increased exchange outflows are generally seen as a positive sign since they suggest that investors are holding onto their coins rather than selling. Exchange outflows often slow during a strong downward trend as investors panic and sell off their holdings.

Technicals suggest that Pepe price may soon surge. The four-hour chart below shows that it has formed a small inverse head and shoulders pattern. This pattern’s head is at this month’s low of $0.000005245, while the neckline is at $0.000007415. 

An inverse H&S is a bullish signal. A move above the neckline could lead to further gains, with the next key resistance at $0.000008915 — the highest swing on March 2.

Pepe price
Pepe price chart | Source: crypto.news

Pepe coin price formed a bullish divergence

Pepe coin price
Pepe chart | Source: crypto.news

The daily chart shows that Pepe has also formed a double-bottom pattern at $0.00005920. This pattern consists of two down peaks and a neckline at $0.00002827, one of the most bullish reversal formations in technical analysis.

The Relative Strength Index and the MACD indicators have formed a bullish divergence. This occurs when an asset’s price is falling while oscillators are rising — a sign that momentum is turning positive.

Pepe has also formed a falling wedge pattern, defined by two descending and converging trendlines. This setup suggests that the coin could experience a bullish breakout in the coming days.

The initial target will be the psychological level at $0.000010. A break above that could push Pepe toward $0.00001457, its lowest swing on December 20. However, a drop below the year-to-date low of $0.0000053 would invalidate the bullish outlook.

  • Aniket Pujari

    Aniket Pujari

    Aniket Pujari, a graduate in Financial Markets, is the founder of Minute To Know News, a digital platform providing daily news updates on cryptocurrencies, finance, and economics. With a passion for finance and technology, Aniket has been exploring the world of cryptocurrencies since 2015, building a deep understanding of these rapidly evolving industries.

    Related Posts

    Ripple v. SEC Lawsuit Speculation: Can This Key Development Lead to a Resolution?

    TL;DR XRP supporters hope Paul Atkins’ eventual SEC leadership will bring a favorable resolution for the Ripple case, given his pro-crypto stance in the past. One legal expert predicts a…

    SUI stalls, SHIB eyes gains; Crypto enthusiasts strike gold with BlockDAG’s Ambassador Program 

    Disclosure: This article does not represent investment advice. The content and materials featured on this page are for educational purposes only. Discover why SUI’s price stalled after a recent surge…

    Leave a Reply

    Your email address will not be published. Required fields are marked *

    You Missed

    Ripple v. SEC Lawsuit Speculation: Can This Key Development Lead to a Resolution?

    Ripple v. SEC Lawsuit Speculation: Can This Key Development Lead to a Resolution?

    US Fed to unveil policy verdict amid ‘stagflation risk’, chief Jerome Powell eyes rate pause: 5 key things to know

    SUI stalls, SHIB eyes gains; Crypto enthusiasts strike gold with BlockDAG’s Ambassador Program 

    SUI stalls, SHIB eyes gains; Crypto enthusiasts strike gold with BlockDAG’s Ambassador Program 

    a16z leads $20m raise for blockchain payment firm Halliday

    a16z leads $20m raise for blockchain payment firm Halliday

    USTC price wavers as LUNC community votes to make it a meme coin

    USTC price wavers as LUNC community votes to make it a meme coin

    This widely followed investor survey showed a ‘crash’ in bullish sentiment for stocks