PEPE funding rate has improved from -0.0195% to 0.0085%, with a 6.84% rise in open interest.
Liquidations in PEPE hit $2.52 million in 24 hours, with $1.10 million lost by short-sellers.
PEPE risks a 40% downside if it falls below $0.000010, targeting $0.000006 support.
As the crypto market sentiments faced massive fluctuations in recent days, the meme coin market cap has taken a massive hit. Over the past 30 days, it has dropped from $113 billion to $74.65 billion amid such a massive crash. The frog-themed meme coin PEPE has dropped by 18.39% in the last 7 days.
Currently, PEPE price hangs in balance near the $0.000010 psychological mark with a market cap of $4.34 billion. Despite $1 trillion in trading volume, the growing bearish influence hints at a massive crash in PEPE.
PEPE Price Analysis
In the daily chart, the PEPE price trend creates a falling channel pattern. Within the bearish pattern, the meme coin has dropped from $0.0000288 to the current market price of $0.00001034. This accounts for a 64% price drop in a matter of 2 months.
As the PEPE price trend tests the local support trendline, the lower price rejection at the psychological spot hints at a potential reversal. Furthermore, the daily RSI line reveals a bullish divergence as it reverses from the oversold level.
Additionally, the stochastic RSI is presenting a potential bullish crossover slightly above the oversold boundary. Hence, the momentum indicators are teasing a bullish comeback within the falling channel pattern.
Are PEPE Bulls Returning with Higher Funding Rates?
Amid the possibility of a bullish comeback, the PEPE funding rate has improved significantly. After crashing at -0.0195%, the bullish speculation has driven the rate significantly higher.
The funding rate for PEPE stands at 0.0085%, with a 6.84% boost in open interest. With $279.28 million in open interest, the long-to-short ratio in PEPE has gradually improved to 0.97, as it reaches an almost equal level of bullish and bearish positions.
The recovery on the bullish side is evidently clear based on the recent market dynamics. Furthermore, the liquidations over the past 24 hours reflect an equal playing ground with $2.52 million in liquidation, while the short-sellers lost $1.10 million in liquidation.
Hence, the bulls are returning to their strengths in the derivatives market, reflecting heightened chances of a bullish comeback.
On-Chain Data Reveals 40% Downside under $0.000010
Using the Global In and Out of the Money indicator from IntoTheBlock, PEPE is standing at a crucial level. The at-the-money zone extending between $0.000010 and $0.000011 holds 28.26 trillion PEPE.
However, the significant resistance between $0.000011 and $0.000014, with a 37 trillion supply, puts an intense bearish cloud over PEPE. Meanwhile, the support between $0.000009 and $0.000010 holds a mere 12.69 trillion PEPE.
Hence, if the meme coin falls under the psychological mark, it could leap downwards to a deep next supply zone extending to $0.000006.
With the minor resurgence in bullish sentiments, the price action analysis reveals strong price targets at $0.00001136 and the overhead resistance trendline near the $0.000015 psychological mark.